Public liability policy exclusion ensuring that aviation and marine risks are not covered unwittingly. The exclusion is overridden in respect of any liability attaching to the insured arising out of business entertainment on or in craft belonging to others, or in handpropelled boats. Work by the insured in or on aircraft or vessels (e.g. cleaning) should not normally be excluded.

Specified in paragraph 5 of Part I of Schedule 1 to the Regulated Activities Order (Contracts of general insurance) as the insurance upon aircraft or upon the machinery, tackle, furniture or equipment of aircraft.

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Coverage for the insured in the event that the insured’s negligent acts and/or omissions result in losses in connection with the use, ownership, or maintenance of aircraft.

Specified in paragraph 5 of Part I of Schedule 1 to the Regulated Activities Order (Contracts of general insurance) as insurance against damage arising out of or in connection with the use of aircraft, including third party risks and carrier’s liability.

Covers airlines for a pre-agreed daily amount in the event of the aircraft being out of use due to an ‘intervening peril’ (peril covered under hull all risks and war risks covers), but can extend to mechanical breakdown, groundings, air traffic control strikes, etc. Cover does not apply to total loss situations. Financiers may insist that cover is arranged to fund lease payments during periods of repair. Claims payments may be sufficient to help the insured meet other fixed costs. See TOTAL LOSS ONLY INSURANCE.

Protects aircraft lessor against confiscatory acts (typically by the country of domicile of owner and/or country of registration) and inability to enforce possessory rights following a default under the lease. The insurance may be extended through a contingent war policy to cover damage to the aircraft whilst awaiting repossession.