Airside Liability Insurance – What You Need To Know

Key takeaways

• Airside liability insurance is designed for businesses and individuals working in restricted airport areas, including aprons, taxiways, runways and secure parts of terminal buildings.
• Standard public liability and motor insurance policies often exclude work at airports, so specialist airside cover may be required before a contract can begin.
• Cover can be arranged as a standalone policy, as primary insurance or as an additional layer above an existing liability policy.
• Airports may require substantial indemnity limits, with major airports such as Heathrow potentially asking for cover of £50 million.
• Premiums are typically based on the work being carried out, the vehicles used, proximity to aircraft, contract duration and the required indemnity limit.
• Airside liability insurance can be arranged for regular airport work, deliveries and one-off contracts, including work at overseas airports, subject to insurer terms and territorial restrictions.

“Airside” generally refers to an area on an airport that has restricted access. This will be the aprons, taxiways and runways as well as the area past the security gates in terminal buildings. Most standard public liability policies will contain an exclusion relating to high risk locations, airport and aerodromes are on the list of excluded premises. Some insurers may consider providing liability cover at airports for an additional premium but they are unlikely to provide an indemnity limit of more than £5 million.

As companies or individuals that are working airside will inevitably require a higher level of public liability cover, airside liability insurance can be arranged as a separate policy, either to top up an existing insurance, or to provide the primary cover. It is not uncommon to see indemnity limits in excess of £50 million.

FAQ:

Q. Why is airside liability insurance required?
A. Airside liability cover is required as most motor vehicle and public liability policies have a total exclusion relating to work at airports

Q. Who needs to buy the cover?
A. Anyone that carries out regular or one of contracts at airports or is even delivering goods to airports

Q. What limits are available?
A. Various limits are available. Major airports such as Heathrow are likely to insist on a limit of £50,000,000

Q. Can work at airports outside of the UK be covered
A. Yes, although some insurers may not want to cover work in the US

Q. Is work inside airport terminal classified as “airside”
A. Technically, airside is past the areas where there is passport control. As most insurers are excluding any liability at airports it is worth checking with your broker or insurer

Q. How are the premiums calculated?
A. Insurers will take into consideration the type and size of any vehicles being used airside, the nature of work and the proximity to any aircraft. They will also look at the indemnity limit required?

Q. Is it possible to cover a one-off contract?
A. Yes, cover can be arranged for a one of contract, such as filming at an airport. Depending on the exact nature of the work and the indemnity limit required, insurers are likely to require a premium I the region of £500 for a one-off policy.

Should you require a quotation from a broker that has access to multiple airside liability insurance providers or require further information, please contact Tony Gibbs on 0118 9165485.