Accidents are a part of life—they’re inevitable. This is why drone insurance exists, to keep you covered when accidents do occur.
Do I need Drone insurance? While it is not required for you to obtain insurance on your drone for recreational use, it is recommended that you Insure your drone with liability and damage insurance (hull policies).
Many accidents are caused by drones, and many of these accidents cause damage to the drones themselves. This can keep some people in fear of ever using their drones to avoid the risk of it crashing.
Drones are the subject and cause of frequent accidents. I remember when I spent $2300 on my DJI Phantom package, the two things I worried about the most…losing it and crashing it.
Common Drone Insurance Guidelines
Whether the equipment fails, or the problem is user error, these accidents can cause serious harm, loss or total destruction. While it is essential to be a responsible pilot, it is invaluable to utilize the coverage drone insurance gives you.
With some drones costing you thousands of dollars, it is more than a rational concern to wonder whether you need individual insurance to avoid disaster.
Whether or not this is the case fluctuates some from circumstance to circumstance, but there are some general guidelines we can follow to find the answer. These guidelines are pretty standard in both Canada and the USA
A Simple Guide to Drone Insurance USA and Canada
Depending on how you plan to use your drone and what kind of drone you have, your drone may already be covered by your home insurance policy the same way your other private property would be.
As long as you are not making money off of your drone, this may incidentally cover your drone being stolen, damaged, or damaging others’ property. This does not always apply, especially for people who are using the drone professionally. An example includes using your vacation footage on a monetized YouTube channel.
A proper commercial drone insurance policy may cost anywhere from 600-800 dollars, however, if you are not likely to use your drone yon a regular basis, it may be more beneficial for you to pay an hourly rate for the insurance instead.
This isn’t always an option, so be sure to check with your insurance provider before relying on this option. We have a look at your options below.
There are two kinds of coverage for drones: hull policies and liability policies
- Hull policies: policies that cover damage to the drone itself
- Liability policies: policies that cover damage to the property of others, as well as any injury that may be incurred
It is up to you to decide which of these, or both, works best to fit your needs. Do your research and be sure you are adequately informed before making your decision.
How to Decide if you need Drone Insurance
When deciding whether or not you need drone insurance, there are several factors to consider.
Here are some questions you should ask yourself:
- Whether you need insurance to use your drone commercially
- Whether you need insurance to use your drone recreationally
If your home insurance does not cover drones, as some don’t, then it would be wise for you to get drone liability insurance. Please do your due diligence.
The same goes for if you are using your drone to make money. In fact, many employers hiring drone pilots will require that you have drone insurance. Drone liability insurance covers accidental injury to others as well as property damage
Insuring damage to the drone itself is less expensive than buying liability insurance for the damage your drone could cause. Some people opt-out of hull policies to only get liability insurance, which is doable, but it could mean that if your drone is damaged, you would be liable to pay for it yourself.
In some cases, if you crash your drone, it may not be caused by pilot error. It may, in fact, be an equipment failure as a result of a defect. In this case, the manufacturer may cover the repair costs.
Another thing drone insurance cover is potential claims against you alleging that your drone is spying on them or taking private footage of them or their home. This is something that without the insurance, you could be sued for in some states or provinces. It’s rare, but it happens
Commercial Drone Insurance
Commercial general liability drone insurance also covers not only property damage and injury caused by your drone but death if it were to occur as a result of your drone falling or otherwise causing fatality in another person
Insurance for commercial use can be more expensive than insurance for recreational use—it is usually upwards of $200+ a year—but this price may be worth it, as it covers any damage incurred to your drone while in use. You decide to figure out what best fits your plans.
When Should I Purchase My Drone Insurance?
If you aren’t automatically covered via your home insurance, you should insure your drone before flying it. It does not particularly matter whether this is before or after you purchase the drone itself, only that it is before you use it to avoid being liable for accidents made before you are fully covered.
It is best to get your insurance close to the time that you plan to pilot your drone. Otherwise, you are wasting your money insuring something that is not in use yet and may not be for a while. Get the most out of your money.
Before buying coverage from a specific insurer, ask them these important questions:
- Do you offer hull and liability insurance in a bundle for a lower cost?
- To what extent does your liability policy cover my drone?
- Does the coverage extend out of the country?
- Do you provide coverage while in transit?
- Is training required for me to qualify for this insurance?
- Do you cover additional parts separately?
It is essential that you be an active participant in choosing your insurance in that you ask all of the essential questions and research to find the best options to suit what you are looking for.
Are There Any Apps That Provide Drone Insurance?
In the USA, there are a couple of apps available that provide drone insurance for your smartphone, one I am familiar with is Verifly.
This app gives you live-updated policy price for insurance in your exact are, as well as special pricing for flight in a specific area, up to a two-mile radius.
Verifly allows you to decide which policy to what extent you want to be covered, policies going up to $10 million. It also allows instant access to a Certificate of Insurance, keeping you covered from the moment you receive up to 60 days later.
You can also buy time-specific policies in a 4, 6, and 8-hour range for when you only need insurance for a day or less. This allows you flexibility and saves you a lot of money in the long run.
Policies provided by Verifly apply to anywhere in the world as long as it is in a drone-safe area, determined by the local laws.
To sum it up, here are this app’s features:
- Choose a policy for however long of a session you are planning to have in a 4, 6, or 8-hour range
- Has liability insurance limits up to $10 million
- Real-time pricing specific to your location
- A two-mile radius where you only pay to fly within that circle
- And more
This app is available in 44 states—every state in the US excluding HI, KY, ND, NY, TX, and WA, though they claim they will eventually be available in the remaining states not listed here.
Verifly can be a smart and convenient option for insuring your drone, as all of its features are easily accessible in one place with clear communication and customer support available.
It is available on both Google Play and the App Store. Their website offers a plethora of further information about their company and its mission for the future.
Verifly seeks to create insurance coverage conducive to everyone’s individual needs. They believe their app is cohesive to that goal as it provides customizable coverage plans and straightforward information that is easy to consume.
Drone Insurance Providers USA
Verify: See information above. If you go to their website, you can download the App from the APP Store and Google Play.
Skywatch.ai: The USA and now Available In Canada Drone Insurance App is Skywatch.io The APP is available for both iOS and Android. SkyWatch offers pretty much the same as Verifly with simple, fast and transparent coverage. You can select Hourly or a Monthly plan.
One exciting feature they offer – The safer you fly, the less you pay, which is the way it should be. The APP is excellent, letting you see potential hazards before you take off in real-time. They offer packages for both commercial and recreational flights. Check out their website.
Avion Insurance: Avion Insurance offers its clients peace of mind, to help you lower the risk in the event of loss or damage to your Drone. They offer flexible and affordable plans for “Hull Coverage” and Liability Insurance
AIG: is more focused on the commercial side of Drone insurance, although they have packages for most Drone owners
It’s easy to get a quote to see if they are the right fit for you. They have been around for a long time, well established, and can provide knowledgeable agents to guide you through a customizable package.
Drone Insurance.com: offers control of your Insurance online and on demand. They offer Basic Coverage with a Physical Damage Add-On and Flight Liability Coverage on Demand. Check out their website for all the details
Drone Insurance Providers in Canada
NOTE**Under the New Transport Canada Regulations recreational drone operators who fly a drone that weighs more than 250 g for any purpose will need to be insured through a liability insurance provider for at least $100,000.
Check your Home Owners policy FIRST to see if you are covered. Most Home Owners Policy has a bit of coverage, but it’s up to you to check to make sure.
Drone Insurance Depot: They provide Drone liability insurance and coverage to both commercial and hobbyists. You can get a quote online and purchase it online at the same time.
They make it pretty easy. If you are flying a Drone in Canada and earning money, you must follow the New Transport Canada Requirements
CMR Insurance: CMR agents can guide you through setting up a package that suits your requirements. They have packages for everyone, Real Estate Agents, Aerial Photographers, Filming for YouTube, Farming etc. Most commercial applications.
CoverDrone.com: CoverDrone claims to be fully compliant with the new Transport Canada Regulations. They are specialists with Drone insurance for Commercial and Recreational drone operators. You can speak to someone or get a quote online.
Intact Insurance: Intact is noted for their Home and Auto policies, but they also offer Commercial Drone Coverage. Their website does not have a lot of information to provide unless you request a quote or locate a broker.
What they do mention is the included damage to, and the loss of your drone, ground station equipment and any drone mounted equipment like a camera. They also have policies that are flexible to meet the evolving needs of the industry.
If you are flying a Drone under 250g or 0.55lbs, it is most likely you are covered under your homeowner’s insurance policy. As long as you are not earning any money with it, you should be fine. But Call To Make Sure
On the other hand, if your Drone is over the minimum weight limits in most cases, you need at least basic insurance. Again, check your home insurance to see what it offers. You made need an add-on package.
If you fly to make money for any reason, you need to purchase the proper insurance. I have listed a few of the more popular companies for both the US and Canada. Do your due diligence and check it out. Remember safety first. Without insurance, it could be disastrous.
PLEASE Read the disclaimer below.
I wish you a safe flight. Stay out of the tree!
Disclaimer. We are by no means experts on Drone Insurance. This Article is just a helpful guide to explain the different types of policy’s and what they may or may not cover.
It is a broad look at a complicated subject with the intent to simplify what you may or may not require. The article intends to point you in the right direction to help you investigate your insurance needs. It is up to you to do your due diligence.
We have included information to help guide you to investigate Drone Insurance in both the USA and Canada. We are not responsible or liable for any claims or lawsuits resulting from your interpretation of this information.
This article is for informational and educational purposes only and does not constitute any Drone Insurance Advice whatsoever.