Thinking about using a drone for your business and expect your company's general liability policy to cover any accidents and damage it may cause? Be sure to read the policy.
Most general liability policies contain a broad exclusion that applies to aircraft (as well as autos and watercraft). The exclusion eliminates coverage for any bodily injury or property damage that you (or any other insured) cause while owning, maintaining, or using an aircraft.
The exclusion also applies to aircraft that you rent, borrow, or entrust to someone else. Here is an example of how the exclusion might apply.
While that exclusionary language would seem to not include drones, a recent court decision said it does apply to them. The standard language was written before drones really came on the scene, but the ruling said that drones fall into the catchall term for "aircraft."
One by-product of a strong economy is more employment, but the increased activity usually results in more workplace injuries.
That's because there are more inexperienced people on worksites and when a company is busy and there is more activity, the chances of an incident occurring also increase. This is especially the case in manual labor environments from production facilities, warehousing and logistics to construction and other trades.
The September USG + U.S. Chamber of Commerce Commercial Construction Index found that 80% of contractors said that the skilled labor shortage is affecting jobsite safety and it's the number one factor increasing safety risk on the jobsite.
Coinsurance clauses, commonly found in a builder’s risk completed value policy, involve the policyholder becoming a co-insurer of the risk of loss with the insurer. In other words, certain conditions may result in the insurance company not paying the total amount of loss, thereby leaving the policyholder to bear the remainder. The insured and the insurer jointly assume the risk.
The benefit of buying an insurance policy with such a clause is that the policyholder will usually have relatively low premiums compared to other similar policies that don't contain a coinsurance clause. That said, anyone considering a coinsurance clause should understand what it entails and requires, so they are not taken by surprise with penalties if a loss should occur.
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