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28 Apr 2024, 03:20 [ UTC - 5; DST ]


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 Post subject: Re: Looking for replacement for C90A King Airs
PostPosted: 11 Dec 2021, 23:30 
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Username Protected wrote:
Fair enough, but if the policy has "no payout if beyond TBO" language

Do you have an example of such language?

Quote:
the insurance company is going to argue that more likely than not the part in question would not have failed if it had been replaced during OH.

The vast majority of parts are NOT replaced during overhaul. It isn't a new engine after an overhaul.

Quote:
In any event, the bigger problem I see here is insurance companies refusing to insure planes at all if the engine(s) is past TBO.

Do you have a specific example where this is the case?

Mike C.

I don't have examples. I was mentioning these items as things to be on the lookout for.

What can be problematic is when clarification is sought and provided after the contract (policy) is signed. E.g. the policy is silent about running an engine after TBO but you ask the insurance company about it after the policy is signed and they tell you "we won't pay out in that case". Even though it's not part of the "four corners" of the contract, a court might consider it (depends on the jurisdiction of course).
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