Insurance claim... do you end up paying it back with increased premiums?

[Bret Hess]

If you make a claim of say $5000 and want to stay insured, do you end up paying it back (and maybe more)?

When I first started glider insurance, I was surprised that you couldn't buy a large-deductible policy. From at least one comment I'm wondering if it's a moot question. I get the feeling that you end up paying in increased premiums for all but the most expensive claims, so maybe it's best to pay for some repairs myself. Any idea where the break-even point is? Will an agent tell me?

[John Cochrane[_3_]]

On Monday, July 27, 2015 at 4:04:13 PM UTC-7, Bret Hess wrote:
> If you make a claim of say $5000 and want to stay insured, do you end up paying it back (and maybe more)?
>
> When I first started glider insurance, I was surprised that you couldn't buy a large-deductible policy. From at least one comment I'm wondering if it's a moot question. I get the feeling that you end up paying in increased premiums for all but the most expensive claims, so maybe it's best to pay for some repairs myself. Any idea where the break-even point is? Will an agent tell me?

I also looked in to this. Costello provided a clear answer: Gliders are too small a market to bother with customized policies, and figuring out the loss ratios depending on deductibles.

Then I broke a canopy. $5000 canopy, extra premiums $2,500. So it's half insurance and half a savings plan.

Your hull insurance premiums pay for a lot of broken canopies, crunched ailerons, etc.

John Cochrane

[Tango Eight]

On Monday, July 27, 2015 at 7:48:56 PM UTC-4, John Cochrane wrote:

> Your hull insurance premiums pay for a lot of broken canopies, crunched ailerons, etc.
>
> John Cochrane

You're welcome :-).

-Evan

[Frank Whiteley]

On Monday, July 27, 2015 at 5:48:56 PM UTC-6, John Cochrane wrote:
> On Monday, July 27, 2015 at 4:04:13 PM UTC-7, Bret Hess wrote:
> > If you make a claim of say $5000 and want to stay insured, do you end up paying it back (and maybe more)?
> >
> > When I first started glider insurance, I was surprised that you couldn't buy a large-deductible policy. From at least one comment I'm wondering if it's a moot question. I get the feeling that you end up paying in increased premiums for all but the most expensive claims, so maybe it's best to pay for some repairs myself. Any idea where the break-even point is? Will an agent tell me?
>
> I also looked in to this. Costello provided a clear answer: Gliders are too small a market to bother with customized policies, and figuring out the loss ratios depending on deductibles.
>
> Then I broke a canopy. $5000 canopy, extra premiums $2,500. So it's half insurance and half a savings plan.
>
> Your hull insurance premiums pay for a lot of broken canopies, crunched ailerons, etc.
>
> John Cochrane

I broke a canopy. IIRC I paid for 40% of the cost of replacement/repair spread over five years by my calculations. I did not claim the transportation costs in my claim though I have known other pilot/owners to claim transport. It can be quite expensive when the repair station is a few states away..

Frank Whiteley