Update: State Farm Drone Insurance

[whazzup]

Does State Farm sell drone insurance a la carte, or do you need to have them insure your home and/or auto as well? Thanks in advance.

 

[Chaosrider]

I took @BigAl07 advice and purchased my insurance thru AMA . . . $660 for the year (two birds).

Can you give me contact info (preferably email, but phone OK) for your contact at AMA. Lisa? I just sent her an email, but the person who replies to the general customer service emails didn't think they offered loss/damage insurance.

I've decided to soften my views on this on what constitutes "commercial" for this purpose. The FAA definition is over-inclusive for what counts as commercial, but I have my 107 anyway, so I've got that part covered. For insurance purposes, I'm going to use the more common sense definition, which is that if I'm not getting paid for making a flight, it's not commercial.

Just to clarify my understanding of the distinction, is the only flight rule difference between 107 and recreational, that recreational can't fly over buildings, if that would take them about 400 ft AGL (not counting the building)? Or are there additional restrictions?

As long as I'm following all the overall rules (VLOS, 400 ft AGL, etc), and buildings aren't involved, and I don't get paid for the flight, am I good to consider that a recreational flight? Or are there additional things that a Rec pilot can't do, that a 107 pilot can do?

I think the best coverage for me currently would be recreational by default, but commercial available on a "per flight" basis.

Just tryin' to get covered an stay legal!

Thx!

 

[whazzup]

Interesting discussion. I had to post a video to YouTube because another forum website wouldn’t host directly. I made the video for myself and my family viewing, and used copyrighted music for the background. I received a message from YouTube that I could not monetize my video due to the embedded music. I had no idea I could monetize my work!!

Anyway. Given all this discussion about commercial vs personal flying, I am wondering when personal becomes professional. If I fly for personal reasons and upload to YouTube a few months later, and it becomes monetized, am I in violation of part 107 and the insurance? Who woulda’ thunk this hobby would be so complicated, LOL. Thanks in advance.

 

[Skywatcher2001]

Can you give me contact info (preferably email, but phone OK) for your contact at AMA. Lisa? I just sent her an email, but the person who replies to the general customer service emails didn't think they offered loss/damage insurance.

I've decided to soften my views on this on what constitutes "commercial" for this purpose. The FAA definition is over-inclusive for what counts as commercial, but I have my 107 anyway, so I've got that part covered. For insurance purposes, I'm going to use the more common sense definition, which is that if I'm not getting paid for making a flight, it's not commercial.

Just to clarify my understanding of the distinction, is the only flight rule difference between 107 and recreational, that recreational can't fly over buildings, if that would take them about 400 ft AGL (not counting the building)? Or are there additional restrictions?

As long as I'm following all the overall rules (VLOS, 400 ft AGL, etc), and buildings aren't involved, and I don't get paid for the flight, am I good to consider that a recreational flight? Or are there additional things that a Rec pilot can't do, that a 107 pilot can do?

I think the best coverage for me currently would be recreational by default, but commercial available on a "per flight" basis.

Just tryin' to get covered an stay legal!

Thx!

My sincere apologies on the delay. . . I just got back to the states from vacation. Once I get home I’ll forward the info to you (later this evening (PST). . .

 

[Chaosrider]

My sincere apologies on the delay. . . I just got back to the states from vacation. Once I get home I’ll forward the info to you (later this evening (PST). . .

Thank you sir! I have had a hard time making positive contact with the insurance person at AMA.

When I first looked at this many months ago, I was communicating with someone who I think was at the actual insurance company that AMA uses, but I have misplaced their contact information.

A replacement FPV costs something like $650, so getting damage/loss (hull) insurance for it should be pretty cheap.

IIRC, the person I was working with before wanted me to send them a copy of my flight logs, which at the time, I didn't know how to do, and I got distracted doing other things. Now that I'm on Airdata, it should be easy.

Thx!

 

[davidorlandbrown]

We all know how excessive the rules are about what counts as "Commercial" operation in the drone realm. Using your own drone to inspect your own roof counts as commercial.

But I wanted to get my new FPV insured (the DJI policy is way too expensive), so I checked with the local State Farm agent. They asked if it was going to be for personal or business use. I said that I hadn't made any money with it yet, but I hoped to eventually, so I guess it's business.

This is the response I got:

"Unfortunately in Nevada, we can only insure drones on personal articles policies if they are for personal use only. I contacted our underwriters, and they said if there is any business exposure, it is ineligible for State Farm."

So if you get a "Personal Article Policy" with a stipulation that the drone is for personal use, and you're operating a flight under 107 rules...you're probably not covered. Even if it's just registered under Part 107, it may not be covered.

Bummer. But, YMMV.

The agent was kind enough to point me to other agents in the area who do handle commercial drone insurance. I'll report back after checking with them.

Great insight. How can we check to see if we applied in the affirmative for that policy?

 

[Chaosrider]

Great insight. How can we check to see if we applied in the affirmative for that policy?

No real progress on this yet. The AMA insurance person sent me the application forms, but I need to get a bit more information first.

 

[akdrone]

Interesting discussion. I had to post a video to YouTube because another forum website wouldn’t host directly. I made the video for myself and my family viewing, and used copyrighted music for the background. I received a message from YouTube that I could not monetize my video due to the embedded music. I had no idea I could monetize my work!!

Anyway. Given all this discussion about commercial vs personal flying, I am wondering when personal becomes professional. If I fly for personal reasons and upload to YouTube a few months later, and it becomes monetized, am I in violation of part 107 and the insurance? Who woulda’ thunk this hobby would be so complicated, LOL. Thanks in advance.

NO. The FAA doesn't care if you make money from your video after the fact. It only cares that the INTENT of the original flight was purely for fun. If you simply happen to make money from it later, that's OK. If you monetize your channel and then add video to it the assumption, I would assume, would be that the intent was commercial but if you have a 10 year old channel with hundreds of drone videos that at some point gets monetized you would be fine...but would then have to get a 107 in order to continue to add drone videos. It's the intent of the original flight that must be purely for fun that allows you to fly without a Part 107 license.

 

[edfrombama]

Good morning to all-
this is an interesting discussion.
Personally, I don't give a hoot in Hades what anyone thinks about my intent when I go flying my drone. I just go fly the little bird and have fun. However, I am an outdoor writer and photographer, and that makes things a little different.
I have used drone photos I shot as part of my articles because they showed water, shoreline, folks fishing- several things, actually, better than a handheld camera could. And I got paid for the articles- I don't write for free. I didn't intend to shoot saleable drone photos, but I sure do use drone shots if they serve my purposes.
I don't know whether anyone else considers this sort of thing as recreational, professional or a combination. I see it as I do when I take my handheld cameras with me. According to the tax folks, if I have my camera with me in the car, then I can count the mileage as part of my work expense and claim it on taxes. I reckon I can do the same with my camera drone.
I worry about insurance and such things about as much as I worry about my left big toe

you all be safe and keep well

 

[Chaosrider]

NO. The FAA doesn't care if you make money from your video after the fact. It only cares that the INTENT of the original flight was purely for fun. If you simply happen to make money from it later, that's OK. If you monetize your channel and then add video to it the assumption, I would assume, would be that the intent was commercial but if you have a 10 year old channel with hundreds of drone videos that at some point gets monetized you would be fine...but would then have to get a 107 in order to continue to add drone videos. It's the intent of the original flight that must be purely for fun that allows you to fly without a Part 107 license.

I have my 107, so the FAAs not going to have a problem with anything I do in this regard.

Insurance companies, however, are very different animals. Insurance companies are supposed to deny claims when they can get away with it. If I owned stock in an insurance company, I would want them to do that.

If you have personal/non-commercial policy, and you make a claim, and there's any fuzziness about whether or not it was a commercial flight, they'll just deny the claim, and then you've become well acquainted with the shaft. Fighting the denial will cost you, in either time or money or both, quite possibly to the extent of exceeding the value of the drone.

Oh, you have a commercial drone license? Then we assume that this was a commercial flight, and therefore not covered under your personal policy. Prove us wrong!

If you try to go wink-wink, nudge-nudge with the insurance company, about the terms of the coverage, you'll lose.

 

[akdrone]

I have my 107, so the FAAs not going to have a problem with anything I do in this regard.

Insurance companies, however, are very different animals. Insurance companies are supposed to deny claims when they can get away with it. If I owned stock in an insurance company, I would want them to do that.

If you have personal/non-commercial policy, and you make a claim, and there's any fuzziness about whether or not it was a commercial flight, they'll just deny the claim, and then you've become well acquainted with the shaft. Fighting the denial will cost you, in either time or money or both, quite possibly to the extent of exceeding the value of the drone.

Oh, you have a commercial drone license? Then we assume that this was a commercial flight, and therefore not covered under your personal policy. Prove us wrong!

If you try to go wink-wink, nudge-nudge with the insurance company, about the terms of the coverage, you'll lose.

Understood. I was carefully asked that question when I got my StateFarm drone policy (Personal Items, I think it is called).

 

[Dmcvey]

Much prefer the EU and UK way, no commercial vs. rec. the system is based on risk. Everybody has to test and be certified based on where they want to fly.