For businesses operating under FAR Part 135, offering commercial air transportation through charter or on-demand flights, insurance coverage is critical. These operations involve substantial risk due to passenger transport, frequent flights, and significant investments in aircraft.
Aircraft hull insurance protects the physical value of your aircraft. Covering damage or loss from accidents, theft, or natural disasters, this insurance is critical for safeguarding your aircraft investment. With options for in-motion, not-in-motion, and all-risk coverage, this policy provides a tailored approach to ensure your fleet is protected whether on the ground or in the air.
As a FAR Part 135 operator, you transport passengers, making passenger liability insurance essential. This coverage protects you against claims for injury or death sustained by passengers. Given the heightened liability associated with passenger transport, this coverage provides financial protection and peace of mind for both your business and clients.
Public liability insurance, also called third-party liability, covers claims for bodily injury or property damage caused by your aircraft to individuals and property outside the aircraft. This coverage is required by law and is crucial to protect your business from costly liability claims related to accidents that might damage other people’s property or cause injury to non-passengers.
Non-owned aircraft liability insurance covers liability if you rent or borrow an aircraft for operations. This coverage protects your business from potential risks when using aircraft that aren’t part of your owned fleet, allowing you flexibility without compromising protection.
In the aviation industry, employees face risks unique to their roles, from maintenance to flight operations. Workers’ compensation insurance ensures that employees injured on the job receive coverage for medical expenses and lost wages. For Part 135 operators, this insurance is particularly important as it demonstrates a commitment to employee safety and legal compliance.
Medical payments coverage provides payments for minor injuries sustained by passengers and crew, regardless of fault. This no-fault coverage offers immediate support for medical costs, providing peace of mind for your passengers and a streamlined claims process that helps reduce liability-related complications.
This insurance offers protection for your aircraft while it’s on the ground, with two coverage options. Not-in-motion coverage protects the aircraft from damage due to events like fire, theft, or weather while parked, and in-motion coverage protects it while taxiing. Both are crucial for minimizing risks to grounded aircraft, particularly when dealing with high-value assets.
For Part 135 operators, unexpected downtime can lead to substantial revenue loss. Business interruption insurance compensates you for lost income if a covered incident leaves your aircraft grounded or unable to operate. This ensures that temporary disruptions don’t negatively impact your finances and helps cover costs until your operations resume.
With the right combination of these coverages, FAR Part 135 operators can confidently focus on providing safe, reliable transportation while protecting their assets and reputation. By partnering with an experienced aviation insurance provider, you can tailor coverage to meet regulatory requirements and industry standards, keeping your business prepared for any challenges.
The FAA issues a Part 135 certificate, essential for any company conducting charter or on-demand air travel. This certificate authorizes operators to transport passengers and cargo commercially, with all aircraft on the FAA’s D-085 list. This ensures that each aircraft meets strict operational and safety criteria before carrying passengers for hire.
Part 135 mandates operational control over every flight, meaning the operator is responsible for FAA compliance, crew rest, maintenance, weather evaluation, and flight safety. Operational control reinforces that the operator—not just the pilot—is legally accountable for all safety aspects of flights.
Part 135 requires charter flights to meet specific maintenance and equipment standards, ensuring aircraft safety and airworthiness.
Maintenance Programs: Larger aircraft (10+ seats) require extensive maintenance, including regular inspections and mechanical checks.
Minimum Equipment List (MEL): Each aircraft must meet minimum equipment standards. Non-critical items may be deferred, but essential safety equipment is mandatory.
Insurance Coverage: Minimum liability insurance is required for passenger safety and aircraft protection, covering potential property damage and passenger injury.
Part 135: Governs on-demand charter flights with high safety standards, balancing between private (Part 91) and airline regulations (Part 121).
Part 91: For private flights, requires no FAA certificate, typically covering personal and corporate travel.
Part 121: Applies to large commercial airlines, enforcing the strictest standards for high-capacity, scheduled flights.
Pilot Certification and Flight Hours: Part 135 pilots need at least 500 flight hours and regular instrument proficiency checks.
Crew Rest and Duty Limits: Crewmembers are limited to 14-hour duty periods with mandatory rest to prevent fatigue.
Visibility and Weather Minimums: Part 135 sets specific visibility requirements, prohibiting visual operations if conditions are too low.
Proper liability and insurance are vital for Part 135 operators to protect against financial losses from accidents, property damage, and third-party injuries. Selecting the right insurance partner ensures compliance and fosters trust with clients. Key considerations include:
Aviation-Specific Expertise: An aviation-specialized insurer understands Part 135 risks and requirements, providing tailored policies and support.
Comprehensive Coverage: Look for policies covering all Part 135 operations, including liability, hull damage, and passenger coverage. Additional coverage for non-owned aircraft or higher liability limits can be beneficial.
Financial Stability and Claims Record: Choose a provider with strong financial health and a history of prompt claim handling, ensuring reliable support during incidents.
Compliance Support: Ensure your provider helps you stay aligned with FAA insurance standards for Part 135.
Cost vs. Coverage Balance: Balance premium costs with essential coverage to ensure comprehensive protection without overpaying.
With robust Part 135 insurance coverage, charter operators can comply with regulations, maintain operational control, and provide safe, reliable air travel options for passengers. This commitment to safety and compliance strengthens customer confidence and supports long-term growth in the competitive charter industry.
With the right combination of these coverages, FAR Part 135 operators can confidently focus on providing safe, reliable transportation while protecting their assets and reputation. By partnering with an experienced aviation insurance provider, you can tailor coverage to meet regulatory requirements and industry standards, keeping your business prepared for any challenges.
Here’s a comprehensive FAQ on FAA Part 135 operations, insurance requirements, liability coverages, and Federal Aviation Administration (FAA) regulations. This guide covers key aspects for certificate holders in on-demand operations:
FAA Part 135 refers to federal aviation regulations (FARs) governing on-demand operations for air carriers transporting passengers or cargo commercially. Part 135 certification is essential for companies operating charter flights or other non-scheduled flights and requires meeting safety and operational standards defined by the Federal Aviation Administration (FAA).
Part 91 applies to private flights, with fewer regulatory demands.
Part 121 is used by major airlines, with rigorous requirements for scheduled flights.
Part 135 serves as a middle ground, applying standards suited to on-demand commercial flights.
Operational control means the certificate holder has authority over safety-related decisions during flights, ensuring compliance with federal regulations on crew rest, weather standards, maintenance, and more.
Part 135 operators need liability insurance covering third-party injury, passenger safety, and property damage. Requirements vary by aircraft size, but insurers often recommend additional hull, personal injury, and third-party liability coverage to safeguard operators fully.
Liability insurance helps cover financial losses due to accidents, injuries, or damages. With the FAA’s strict federal aviation regulations, liability coverage is vital for compliance and provides assurance for both the flight crew and passengers.
The FAA requires minimum levels of liability for different aircraft sizes under Part 135, covering potential passenger injuries, property damage, and operational risks. Higher-value aircraft or larger passenger loads often need more extensive coverage to meet federal requirements.
The Federal Aviation Administration conducts regular inspections of Part 135 operators’ maintenance records, pilot certifications, and compliance measures. Violations can lead to penalties, suspension, or even revocation of certification.
Yes, Part 135 mandates minimum flight hours, training standards, and crew rest limits to ensure safety. Flight crew members must also pass recurrent tests and proficiency checks as required by the FAA.
Look for insurers with expertise in aviation and Part 135 operations, strong claims records, and comprehensive coverage options that meet federal requirements. Balancing coverage needs with premium costs is essential for optimal protection.
FAA Part 135 compliance ensures a high standard of safety and reliability, building trust in the air travel experience for passengers and supporting operational stability for charter businesses.
