Anderson Ed wrote:

Herb,
        I understand that an insurance company is a business and needs to take
prudent action to protect itself from unjustifed/unwarrented loss -
particularly if the insuree does not abide by the policy conditions.
The problem is like many aspects in this society regarding
laws/regulations and the like is that the little guy does not have the
resources to take on an insurance company even if it may be otherwise
warrented.  Futhermore, its not until an incident like with the Long EZ
that we may realize the "interpretation" of the policy. I have not read
the report on the Long EZ, so not certain that his mod and unmod to the
original fuel system was even a factor.  But, it would seem to me if he
crashed with the fuel system in its original FAA airworthiness approved
state then he should be covered (unless it can be showed that he did no
return it to its orginal state).  I mean what it boils down to if he had
not touched it and crashed, he would have been covered.  If he had
crashed with the fuel system in a modified state, then I could see where
the insurance company would have a valid point.

I certainly do not want to pay higher premiums covering actions by other
insurees that are not correct or prudent.  I mean lets face it - we pay
higher premiums for our coverage in recognition that there is (at least
the perception) of higher risk with experimental aircraft.  I mean
"experimental" does imply something not exactly industry standard and I
am forced to put a placard on my instrument panel to point that fact out
to passengers.  It does not mean my aircraft is any less safe (in fact
since my butt is very much at risk, I would contend workmanship on my
aircraft exceeds the standards), however, since it did not undergo the
regirous certification process (standard) I pay higher insurance
premiums.

Now, due to the Long EZ incident, I find myself producing paperwork to
cover my modest modifications to the air inlet for my oil cooler.  These
modifications have lowered the oil temp by 40-50F.  If I were really
more interested in my insurance coverage than my butt, then crashing
with my valid FAA airworthiness certificate and my aircraft in its
orginial configuration (high oil temp and all) would be in keeping with
my policy conditions and I would be covered (and my widow could collect
- well, actually probably not, as I am certain that the insurance
company would then point out I was aware of a potential bad condition
and did nothing to alievate it, like making a mod, see-can't win). At
least that is what the Long EZ outcome would suggest.  However, from a
personal standpoint, I feel it more prudent to make these mods and not
have an incident.

So, I have made these mods and have sent a letter with the details to
the local FAA FSO.  Their initial interpretation from my phone contact
is that my modification does not fall under the FAR requirement for
notification of a major modification (I mean experimentals are
experimentals).  However, they were kind enough to suggest that I submit
a letter detail my mods and they would stick it in my "file"  - so I now
have documentation on record just to cover my insurance butt. But, does
anyone really believe that the FAA is going to conduct an extensive
analysis of my modfication and data and give it a "blessing", I
certainly don't. So the only reason for this paper work is to attempt to
cover my insurance butt.

I guess the bottom line is that until I crash and see what the insurance
company's position (assuming I'm still around) is I will never know for
certain whether the $$ I am spending for insurance is worth one nickel.
Sorry, Herb, I'm not against insurance company's per se, I have had
insurance on my automobile and house for over 4 decades without ever
having a contested claim.  Its just the idea I pay mucho $$ for
insurance on an experimental aircraft and have no clue whether and to
what extend I am covered.

Thanks for taking the time to provide you assessment.

Ed Anderson

 
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