Aviation insurance is a combination of property insurance on the hull of an airplane and liability insurance

Property coverage is provided on an all risks basis or on a specified perils basis for the hull, autopilots, instruments, radios, and any other equipment in the airplane as described in the policy.

Liability coverage is provided in the event that the insured's negligent acts and/or omissions result in bodily injury and/or property damage to passengers and individuals who are not passengers.

Commercial airlines hold property insurance on airplanes and liability insurance for negligent acts that result in injury or property damage to passengers or others. Damage is covered on the ground and in the air. The policy limits the geographical area and individual pilots covered.