Finance, Taxes, Insurance
Social Inflation, Increased Awards Driving Insurance Premium Hikes
"Nuclear” judgements combined with heavy claims losses are leading to a challenging market for aviation insurers and insured.
Photo: Mark Wagner
Photo: Mark Wagner

"Social inflation," sharply increased jury awards and claims, and aircraft groundings are all taking a toll on aircraft insurance premiums, which jumped by 20 percent for the general aviation sector last year alone, according to participants at the recent Aviation Insurance Association conference.

Returning as an in-person event for the first time in more than two years, the conference brought together aviation insurance brokers, underwriters, and attorneys to Nashville, Tennessee, from April 29 to May 2 to discuss the effects of the pandemic, increasing claims costs, and aircraft groundings on the industry.