Life insurance cover for RAA

[damoski]

This thread raised a question in my mind about life insurance.

 

When I had my first child in 2012, I checked with my super provider if their life insurance covered the more 'interesting' things that I liked to enjoy - ultralight flying, motorbiking, etc. For ultralights, they confirmed in writing that yes, it was covered.

 

I wonder if the ruling mentioned in the SMH changes that. They classified any recreational flying as an 'obvious risk', and that it's inherently dangerous. Although the case notes focus on a different aspect of this case, that the plaintiff's claim that the pilot turning back earlier would have prevented injury was invalid, it might also provide material that microlighting is proven as a dangerous sport, and therefore not covered by normal insurance or life cover.

 

Is anyone else covered by their standard life cover / insurance?

 

Thanks,

 

Damo

 

 

[Fishla]

Check your PDS.

 

But my super covers me for any method of death, except for dying from war, or something happening to me in gaol, or a preexisting medical condition.

 

I'm even covered for suicide oddly (after a 1 year waiting period).

 

 

[jetjr]

that case and ruling was made in 2007 - no changes

 

Insurers always thought Aircraft were high risk activity

 

Yes covered but they ask hours per year. Under 100 they appear to be OK

 

 

[turboplanner]

You need to discuss your activities with your insurer honestly and in exact detail, and in particular any high risk activity, particularly one accepted to be dangerous.

 

This doesn't mean your won't get insurance, or the insurance will be at a prohibitive cost, just allows the insurer to calculate the spread correctly.

 

Then you need to have that risk endorsed on your policy (in writing)

 

I've always nominated motor racing, and flying a single engine aircraft (the insurer's spread figures based on GA)

 

You will need to nominate RA flying, which includes a plaque stating "copy what's on the plaque"

 

NEVER just take the word of the Insurer's salesman that "That's OK", because when your widow goes to make a claim, she will be talking to the person who pays out, and he will be looking at the written contract.

 

You may well say: "I've been insured for 20 years with no problems", but you only ever find out how strict your insurer is when you make a claim.

 

Maybe your premium will be higher; maybe there will be no charge; no use asking here, make a call to the insurer and have your policy endorsed; you wouldn't want to leave your family high and dry.

 

As a rough comparison of your risk, Worksafe has just issued a safety statement which virtually forces all ATV (Quad Bike) users in Victoria to fit roll over protection before using their ATVs.

 

That was based on one fatality per 18,000 users

 

RA fatality rate in the same year was around 1 in 750 users

 

 

[damoski]

Thanks all.

 

TP: I did have a written statement from the insurer saying that they would cover me for RA flying; it did seem to be a nonstandard request, however.

 

 

[turboplanner]

Thanks all.TP: I did have a written statement from the insurer saying that they would cover me for RA flying; it did seem to be a nonstandard request, however.

Any activity with more risk than the favourite walking across the road and being hit by a bus should be endorsed on your policy, so it might seem that way, but better to have that non standard endorsement if it ever has to be paid out.

 

 

[jetjr]

Its just in the std list of high risk pastimes, listed on the policy, no extra cost

 

 

[turboplanner]

Flying a placarded aircraft is listed?

 

 

[jetjr]

yes aviation is a group risk, Ultralight is listed

 

 

[turboplanner]

PLACARDED Ultralight?

 

 

[jetjr]

What are you talking about?

 

They dont list different motorbikes or motor racing either??

 

 

[turboplanner]

Jetjr will go on with his game forever, so if anyone is not sure whether they are legally covers, I'd suggest you contact YOUR Insurance supplier.

 

 

[2tonne]

TP, don't forget that Super funds often provide a certain level of cover with no disclosure requirement. E.g my super fund provides a base Level of cover (e.g 500K) based on occupation and with minimal exclusions.

 

However, apply to go above this level of cover and you have to go through a full disclosure process. Based on that disclosure, the underwriter then decides to insure you (or not) based on the risk. But if you disclose that you fly ultralights (and that is one of the questions on their form) and they accept the risk you are covered.