In previous parts, we have dealt with the protection of personal data when operating drones and also, for example, verifying the professional competence of a pilot. In today's part of our series about drones, we will focus on insurance and liability when operating drones (unmanned aerial vehicles).

Compulsory insurance

In the Czech Republic, the operation of unmanned aircraft is usually associated with the obligation to arrange liability insurance for damage caused by their operationThis insurance serves to protect the operator in the event that damage to property, injury to health or other harm to third parties occurs as a result of the operation of an unmanned aircraft.

The obligation to arrange insurance is assessed according to the category of operation and the maximum take-off weight of the unmanned aircraft.

In the open category does the insurance cover for all unmanned systems operated by a specific operator. In a specific category the insurance is arranged in relation to for each unmanned system separatelyThis is stated directly in the provision of Section 54d, paragraph 2. Civil Aviation Act.

Open category

In the open category, it depends on the given subcategory of drone operation:

• A1 – compulsory insurance is not required,
• A2 – insurance is mandatory,
• A3 – if the maximum take-off weight of an unmanned aircraft exceeds 4 kg, insurance is mandatory.

The minimum amount of the insurance benefit limit in subcategories A2 and A3 is set at CZK 1.000.000 for each insured event.

Specific category

In a specific category is it is necessary to insure each drone separatelyThe minimum limits are governed by the maximum take-off weight of the unmanned aircraft:

• if it does not exceed 0,91 kg, the minimum limit is CZK 2.000.000 for each insured event,
• if it exceeds 0,91 kg and does not exceed 7 kg, the minimum amount is CZK 5.000.000 for each insured event and
• if it exceeds 7 kg, the minimum amount is at least CZK 10.000.000 for each insured event.

Mandatory insurance for unmanned aircraft over 20 kg is stipulated by Regulation (EC) No. 785/2004 of the European Parliament and of the Council, the minimum amount starts at a limit of 450.000 SDR, i.e. over 20.000.000 CZK.

Insurance exclusions

Insurance is usually applies to random events, i.e. situations that arise unexpectedly and without intention. Typically, this is, for example, a pilot error if it does not reach the intensity of intentional action, or an electronics failure or other technical defects of the drone.

On the contrary, insurance does not apply to events that occurred as a result of intentional actions, environmental pollution or at a time when the operator did not have the appropriate operating authorizationIn such cases, the insurance company usually excludes payment because it is not a random event, but situations that are excluded from the insurance perspective.

Typically, the insurance company will refuse to pay damages in the following cases:

• intentional causing of damage or knowing violation of flight rules,
• operating a drone without the necessary authorization or registration,
• and other situations where the operation was carried out in violation of legal regulations.

Insurance when renting a drone

A problem with the insurance company can also arise if you have rented a drone. According to the interpretation of the ÚCL, in such a case, the person who pilots the drone becomes the operator.

However, with this interpretation I don't agree, as it contradicts the concept of operator defined by law. Therefore If you rent a drone, check what insurance the lessor has and whether their insurance company also covers the lessee. drone or not. Some insurance companies take this into account in their insurance policies.

Liability for damage

If there is a breach of an obligation stipulated by law and at the same time an interference with the absolute right (life, health, property) of the injured party, this obliges the harmdoer to compensate for the damage pursuant to Section 2910 et seq. Act No. 89/2012 Coll., Civil Code.

In connection with drone operation, such a situation may occur, for example, when obligations arising from aviation regulations have been violated, typically when flying in prohibited or restricted airspace, or when failing to comply with established flight safety rules.

záver

The operation of drones in the Czech Republic is in most cases associated with the obligation to arrange liability insurance for damages resulting from the operation of an unmanned system. The scope of this obligation depends primarily on the category of operation and the weight of the unmanned aircraft. If insurance is not mandatory, I still recommend considering taking out insurance beyond the scope of the law.

If the operator violates legal regulations or operates the drone without the necessary authorization, he may be liable for the damage incurred in full and the insurance company may refuse to provide insurance benefits.

Do you need advice on drone insurance? The insurance company is not willing to pay you? Contact us, we will be happy to help you.

JUDr. Ing. Jan Vych, attorney and partner