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Rob:
My insurance on my J-5A/HE-1 has also risen. BY THREE DOLLARS from last year!!! Your comment on the insurance shows that you are ignorant of the insurance industry, and the way they set prices. There are two ways the insurance companies make money; First by charging more in premiums than they (hopefully) pay out in claims, and secondly by investing the premiums they take in. It's little known outside of the commercial property market, but one of the largest landowners in Manhattan is an insurance company. They also invest heavily in the stock market. The entire reason that insurance premiums have risen, across the board and NOT just in aviation, is the bath the insurance companies have taken in these areas:
1) Dot com/stock market bubble of 2000
2) Florida hurricanes
3) Other natural disasters
4) 9/11 attacks and fallout therefrom (terrorism coverage riders/exclusions)
I manage some apartment buildings. Between 2001 and today, my insurance on these buildings has DOUBLED (with ZERO claims of any type, I might add). Should I blame the CAF for this too? Also, underwriters for many/most insurance companies have tightened up considerably on their guidelines (what exactly they will insure). Quite a few companies have left the aviation market, matter of fact there are only 3-4 companies who will write any aviation insurance at all. As an aside, I have had to insure one property through Lloyds of London due to inability to find other coverage. Again, on a property with ZERO loss history.
Once again, you do a disservice to the CAF by making hotheaded comments with little to no knowledge of the "behind the scenes" things. The accident record of the CAF has no real bearing on the plain fact that the entire insurance market has changed DRASTICALLY since 2000. Rates for EVERYTHING (cars, houses, airplanes, business insurance, malpractice) have gone up big-time, mainly as a result of the need for the insurance companies to make a profit, and their inability to do that consistently in the stock market. For many years, insurance rates were, nationwide, artificially low due to the insurance companies making huge profits in the stock market and real estate markets. When that went away, they had no choice but to raise rates. Good news is, it's a cycle, and soon enough the market will begin to loosen back up in most areas.
Also, for your font of knowledge, the last few accidents that involved CAF aircraft were NOT claimed to the insurance, therefore there was no premium raise attributable to the CAF. (FM-2, P-51C, C-60)
I like you, mostly, Rob, but you should really not let loose blasts without knowing the full story.
""Yes Insurance Cost have been effect how do I know because when the CAF lost three Trainers I saw my Insurance bill riseand the reason it did was a direct connection with the CAF crashs. See the CAF doesn't get it everytime they wreck a plane the insurance companys see as well their goes the CAF again better cover are tushy and raise insurance on the whole Warbird Communty. Beleive me when I tell you everything the CAf says about Insurance isn't true. Ask yourself this why is their only one Major Carrier out their willing to hold a policy for the CAF?""
_________________ Regards,
Jase
www.b26marauder.com
"I'm having a BLAST!!" 2007 CAF Wing Staff Conference
RIP Gary Austin..always in our hearts
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