Liability insurance of aircraft owners for losses inflicted upon third parties and passengers is categorised as a compulsory insurance under the provisions of the new Law on Compulsory Traffic Insurance.
Upon the adoption of the new Law, aircraft registration and renewal can be carried out after presenting the evidence of the contract for compulsory liability insurance.
Aircraft owner who is not obliged to annually register the aircraft has to conclude an insurance contract when obtaining the relevant operating licence.
Subject of insurance
Compulsory liability insurance of aircraft owners for loss inflicted upon third parties and passengers in connection with the use of aircraft due to:
- bodily injury,
- health impairment,
- damage to their property,
- destruction of or damage to cargo and registered luggage.
For aircrafts that are not used for commercial purposes an insurance contract can be concluded with or without an insurance cover for damage to cargo and registered luggage.
Insurance contract also covers losses arising from war and terrorism risks, except for aircrafts with MTOM of up to 500kg, for which insurance can be written with or without such insurance cover.
Insurance agreement can be concluded for a definite period or for a particular trip.
Sum Insured is the maximum liability of the insurer per occurrence for losses arising from the use of aircrafts and is expressed in SDR (special drawing rights – accounting unit determined by the International Monetary Fund).
The minimum Sum Insured per occurrence is determined by the government, at the suggestion of the National Bank of Serbia, and is applied pursuant to the statutory classification of aircrafts.
The minimum Sum Insured cannot be lower than:
1.for losses inflicted upon third parties:
- for motor gliders with MTOM above 20 kg 10.000 SDR
- for free balloons with crew 20.000 SDR
- for aircrafts with MTOM:
- less than 500 kg 750.000 SDR
- less than 1.000 kg 1.500.000 SDR
- less than 2.700 kg 3.000.000 SDR
- less than 6.000 kg 7.000.000 SDR
- less than 12.000 kg 18.000.000 SDR
- less than 25.000 kg 80.000.000 SDR
- less than 50.000 kg 150.000.000 SDR
- less than 200.000 kg 300.000.000 SDR
- less than 500.000 kg 500.000.000 SDR
- 500.000 kg and more 700.000.000 SDR
2. for an individual passenger 250.000 SDR
3. for personal belongings of passengers in the aircraft’s cabin 1.000 SDR
4. for cargo and registered luggage per kg 17 SDR
If the aircraft is not used for commercial purposes:
- insurance of cargo and registered luggage is optional;
- minimum Sum Insured per passenger for aircrafts with MTOM of up to 2.700kg is 100.000 SDR.