14 C.F.R. § 205.5

Minimum coverage

Read at: eCFRecfr.gov CornellLII GovInfogovinfo.gov CasesGoogle Scholar

(a) Insurance contracts and self-insurance plans shall provide for payment on behalf of the carrier, within the specific limits of liability in this section, of all sums that the carrier shall become legally obligated to pay as damages, excluding any deductible in the policy, for bodily injury to or death of a person, or for damage to the property of others, resulting from the carrier's operation or maintenance of aircraft in air transportation provided under its authority from the Department.

(b) U.S. and foreign direct air carriers, including commuter air carriers but excluding U.S. air taxi operators and Canadian charter air taxi operators, shall maintain the following coverage:

(1) Third-party aircraft accident liability coverage for bodily injury to or death of persons, including nonemployee cargo attendants, other than passengers, and for damage to property, with minimum limits of $300,000 for any one person in any one occurrence, and a total of $20,000,000 per involved aircraft for each occurrence, except that for aircraft of not more than 60 seats or 18,000 pounds maximum payload capacity, carriers need only maintain coverage of $2,000,000 per involved aircraft for each occurrence.

(2) Any such carrier providing air transportation for passengers shall, in addition to the coverage required in paragraph (b)(1) of this section, maintain aircraft accident liability insurance coverage for bodily injury to or death of aircraft passengers, with minimum limits of $300,000 for any one passenger, and a total per involved aircraft for each occurrence of $300,000 times 75 percent of the number of passenger seats installed in the aircraft.

(1) Third-party aircraft accident liability coverage for bodily injury to or death of persons, including nonemployee cargo attendants, other than passengers, with minimum limits of:

(i) $75,000 for any one person in any one occurrence, and a total of $300,000 per involved aircraft for each occurrence, and

(ii) A limit of a least $100,000 for each occurrence for loss of or damage to property.

(2) U.S. air taxi operators carrying passengers in air transportation shall, in addition to the coverage required in paragraph (c)(1) of this section, maintain aircraft accident liability insurance coverage for bodily injury to or death of aircraft passengers, with minimum limits of $75,000 for any one passenger, and a total per involved aircraft for each occurrence of $75,000 times 75 percent of the number of passenger seats installed in the aircraft.

(d) Canadian charter air taxi operators registered under part 294 of this chapter shall maintain the following coverage:

(1) Third-party aircraft accident liability coverage for bodily injury to or death of persons, including nonemployee cargo attendants, other than passengers, and for damage to property, with a minimum coverage of $75,000 for any one person in any one occurrence, and a total of $2,000,000 per involved aircraft for each occurrence, except that Canadian charter air taxi operators operating aircraft of more than 30 seats or 7,500 pounds maximum cargo payload capacity, and a maximum authorized takeoff weight on wheels not greater than 35,000 pounds shall maintain coverage for those aircraft of $20,000,000 per involved aircraft for each occurrence.

(2) Canadian charter air taxi operators engaging in passenger charter air service under part 294 of this chapter shall, in addition to the coverage required in paragraph (d)(1) of this section, maintain aircraft accident liability coverage for bodily injury to or death of aircraft passengers, with a minimum coverage of $75,000 for any one passenger and a total per involved aircraft for each occurrence of $75,000 times 75 percent of the total number of passenger seats installed in the aircraft.

(e) Notwithstanding paragraphs (b), (c) and (d) of this section, the carrier may be insured for a combined single limit of liability for each occurrence. The combined single-limit coverage must be not less than the combined required minimums for bodily injury and property damage coverage plus, if the aircraft is used in passenger service, the required total passenger coverages stipulated in paragraph (b) of this section for U.S. and foreign direct air carriers and commuter carriers, paragraph (c) of this section for U.S. air taxi operators, or paragraph (d) of this section for Canadian charter air taxi operators. 1 The single-limit liability policy for the required aircraft accident liability coverage may be provided by a single policy or by a combination of primary and excess policies.

1 For example: the minimum single limit of liability acceptable for any aircraft in air taxi passenger service with 16 passenger seats would be computed on the basis of limits set forth in paragraph (c) as follows: 16 × .75 equals 12; 12 × $75,000 equals $900,000; $900,000 plus $300,000 (nonpassenger liability per occurrence) plus $100,000 (property damage per occurrence) equals $1,300,000. The latter amount is the minimum in which a single-limit liability policy may be written.

(f) The liability coverage shall not be contingent upon the financial condition, solvency, or freedom from bankruptcy of the carrier. The limits of the liability for the amounts required by this part shall apply separately to each occurrence. Any payment made under the policy or plan because of any one occurrence shall not reduce the coverage for payment of other damages resulting from any other occurrence.

[Doc. No. 47939, 57 FR 40101, Sept. 2, 1992; 57 FR 52590, Nov. 4, 1992]

Notes of Decisions

Cited in 10 cases (2 in the last 5 years), 1989–2024 · leading case: Frances S. Hodges v. Delta Airlines, Inc., 4 F.3d 350 (5th Cir. 1993).

Sort: Relevance Newest Treatment

Frances S. Hodges v. Delta Airlines, Inc., 4 F.3d 350 (5th Cir. 1993). “14 C.F.R. § 205.5 (a) (1992). 13 . See Nader v.”

Delta Airlines v. Cook, 816 N.E.2d 448 (Ind. Ct. App. 2004). “§ 1371(q) (1994); see also, 14 C.F.R. § 205.5 (a) (1992) (insurance regs.”

Aquino v. Asiana Airlines, Inc., 130 Cal. Rptr. 2d 223 (Cal. Ct. App. 2003). “§ 41112 (a), 14 C.F.R. § 205.5 (a) (1992); & Mudd v. McColgan (1947) 30 Cal.”

Romano v. Am. Trans Air, 96 Cal. Daily Op. Serv. 6524 (Cal. Ct. App. 1996). “*1643 § 41112(a); 14 C.F.R. § 205.5 (a) (1992); Mudd v. McColgan (1947) 30 Cal.”

Lewis v. Cont'l Airlines, Inc., 40 F. Supp. 2d 406 (S.D. Tex. 1999). “for bodily injury to, or death of, an individual or for loss of, or damage to, property of others, resulting from the operation or maintenance of the aircraft -” 49 U.”

Cartegena v. Cont'l Airlines, Inc., 10 F. Supp. 2d 677 (S.D. Tex. 1997). “§ 1371(q) (1994); see also, 14 C.F.R. § 205.5 (a) (1992) (insurance regs.”

Schultz v. Metro. Life Ins., 872 F.2d 676 (5th Cir. 1989). “The coordination of benefits clause is not restricted by its language to coordinating benefits among medical insurers. The clause is open to the interpretation that Pan Am’s liability insurance is a plan of coverage “required or provided by law” which should be coordinated with…”

Headstream Tech., LLC v. FedEx Corp. (6th Cir. 2023). “Rather, Headstream agreed only to pay FedEx in exchange 2 We need not address the parties’ squabble over the applicability of 14 C.F.R. § 205.5 . Air carriers are required to file an insurance policy or self-insurance plan that is “sufficient to pay, not more than the amount of…”

Mosure v. Sw. Airlines, Co. (N.D. Tex. 2024). “” 14 C.F.R. § 205.5 (a). The existence of an insurance requirement is evidence that Congress did not intend to foreclose liability for injuries caused by negligence since “[a] complete preemption of state [personal injury] law .”

Hodges v. Delta Airlines, Inc. (5th Cir. 1993). “11 Immediately after the promulgation of the ADA, the CAB realized that the transition from state to federal regulation would take time.”

Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.