AAIRRG | Aviation Alliance Insurance Risk Retention Group, Inc.

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Take Control of Your Aircraft Product Liability Insurance—and Save up to 35%

Welcome to AAIRRG. The only insurance company that exclusively writes aircraft product insurance for certified Part 145 repair stations. We are delighted to have you visit us.

We are member-owned and, as of February 1, 2014, AAIRRG is owned and controlled by
185 of the independent repair stations in the U.S.  Some are leaders in our industry.

Believe me, few of us wanted to own an insurance company. But because of the outrageous prices we were paying for aircraft products liability insurance (products coverage), our hand was forced.

I'll tell you how we did it in a moment. But first, let me give you the bottom line of what it means for you.

  • You should save (some up to 35% or more) on your company's liability insurance.
  • If you're insured by AAIRRG, you'll own a piece of the company and share in the profits.
  • You'll have access to a viable insurance option for the foreseeable future.

I know you'll have questions. So take a few minutes to read on, and then if you feel that AAIRRG might be a good fit for your repair station, you can request a free pricing proposal.

An Eye-Opening Analysis

In 2004, a core group of Aeronautical Repair Station Association (ARSA) members agreed to contribute time and money to test whether there might be a better alternative to the costly insurance options available at the time.

These members launched a feasibility study, examining 18 years of NTSB data. The study found that only 1.3% percent of U.S. aircraft crashes resulting in bodily injury or third-party property damage were a result of maintenance.  Only 1.3%!

With this information in hand, the group approached reinsurers to try to find support for the idea of a more affordable, exclusive aviation repair station insurance option.

The Problem: We Were Unfairly Lumped With Higher-Risk Ventures

Reinsurers were not unwelcoming, but there was a problem: they were unable to address specific losses surrounding repair stations because of their categorization of us as a miscellaneous class of business.

Who else is included in this category?  Air shows, speed events, medical air evacuation, aerial construction, firefighting, crop dusting, flight training and other higher-risk ventures.  Our research showed that repair stations were (and many still are) being forced to pay higher premiums to subsidize these high-risk businesses in aviation insurance markets. We needed a better option.

A Better Alternative

We spent six years putting AAIRRG together, isolating it from other aviation insurance markets so that we could offer better rates. In June 2010, we received our certificate of authority, authorizing us as a licensed insurance company.  Now, in our fourth year of operation, we've become a substantial presence in the aviation marketplace:

  • We're saving repair stations (up to 35% or more)over what they were paying.
  • We are providing good small shops who could not previously afford Aviation Products and Completed Operations coverage an opportunity to have coverage at a fair cost compared to the alternatives.
  • AAIRRG carries reinsurance with a net worth of $88.1 billion with substantial "A" rated reinsurers to augment its balance sheet.

AAIRRG has standards for eligibility so not just any shop can qualify. Over 41% of the Part 145 market will never hear from us due to other activities they are engage in, and for the remainder, our initial process is rigorous to help insure the financial safety of the group as a whole. Subsequently, for those who qualify, we offer a fair price for an exceptional insurance option.

Any Profits Belong to Us!

If you're insured by AAIRRG, you will own a piece of the company. And while future dividends cannot be guaranteed, let me share the following fact with you:

For the past 30 years, the entire aviation line of business in the U.S. has consistently been the first or second most profitable line of liability insurance, producing a better than 50% pretax profit each year!

Imagine not only saving on your insurance, but also profiting from that savings!  No other aviation insurer is paying a dividend to its policyholders.  But, as an AAIRRG owner/insured, future profits will come back to you.

I think you'll agree that this is an exciting and sensible option. It's worth taking a few minutes to explore our website to learn more.  Then, you can request a quick, easy and free pricing proposal to see just how much your shop can save.

We look forward to welcoming you into the fast-growing AAIRRG family.

Bill Perdue
Warmly,
Bill Perdue (signature)
Bill Perdue, President

P.S. If you have questions and would like to talk this over with a real person, you can call Rick Crebs, our lead underwriter, at 707-963-2400 right now.

 

 

NTSB chief urges child-safety seats on planes
04/21/14:  Deborah Hersman, departing chair of the National Transportation Safety Board, said Monday that "one of her great disappointments" was that child-safety seats aren't required on planes for young children.
FAA Requiring All Flights to Have GPS Tracking System by 2020
04/15/14:  After a recent missing Malaysian Airlines flight, the Federal Aviation Administration (FAA) has decided to mandate GPS-based aircraft tracking on planes. According to 9 News, the FAA will require that all planes have a GPS tracking system called Automatic Dependent Surveillance Broadcast (ADS-B) radio network by 2020.
NTSB Urges FAA Oversight of Sightseeing Balloon Operators
04/11/14:  Citing three hard landings that resulted in injuries and one fatality, the National Transportation Safety Board has issued recommendations that FAA assume oversight of sightseeing balloon operators, in the same way that it oversees airplane and helicopter tour operators.
Supreme Court: Airline can drop frequent flier
04/04/14:  The Supreme Court decided unanimously Wednesday that an airline had the right to dump a frequent flier who complained too much.  The decision allows airlines to have sole discretion to drop frequent fliers.
Chasing the Money for Air Crash Victims' Families in Beijing
04/03/14:  Growing up in Peru in the 1970s, Monica R. Kelly, who specializes in aviation accidents, dreamed of becoming a diplomat and traveling the world.  But by the 1980s, violence was spreading at home with a guerrilla war waged by the Shining Path movement, and her family moved to the United States, forcing her to abandon her ambition to enter Peruvian government service.  She decided to realize her interest in international travel in a more unusual way: by flying around the world to meet and represent the families of air crash victims, one of a specialist band of aviation accident lawyers.
A Five-year-old 777-200LR Sees Early Retirement
04/01/14:  A 777-200LR, built in 2009, has been retired by Air India. Air India cannibalises 777 named Maharashtra at Mumbai's Shivaji airport.  While the rumors mentioned on the website suggest it sustained hidden damage during a heavy landing, it's still notable that a modern 777 less than five years old is being cannibalized.

Older News Articles & Press Releases

 

The entire process of getting our insurance done with AAIRRG has been a very efficient and pleasant experience, thanks to excellent support and guidance from Nina Baron and Rick Crebs.
Govind Jawalkar, President
VHL Aircraft, Inc.
 
Received everything just fine.  I am really impressed with the service.
Ted Dunbar
Castleberry Instruments & Avionics
 
Thank you so much for the prompt service.  It sure makes it easy for me to recommend your company to others in our industry.
Bill Walford
Cross-Check Aviation
 
Read all of our recent testimonials

 

 

 

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Notice: AAIRRG is a licensed insurance company in the State of Montana. AAIRRG operates in 46 states under the authority of a Federal Law which requires registration with each state in which it wishes to operate. You can ascertain your state's status by visiting www.aairrg.com/states. If you should find that your state is not included, AAIRRG will register upon your request to become an insured. This offer is void in any state or jurisdiction in which it would violate their rules or regulations.