© Generali Italia S.p.A.Città Ufficio: Nazione: I profili di responsabilità legati alle nuove tecnologie La responsabilità civile dellaeromobile a pilotaggio remoto: alcuni aspetti assicurativi tra criticità e nuove opportunità Andrea Lanzaro Global Corporate & Commercial Italia Underwriting - Aviation Italia Milano, 29 Aprile 2014

© Generali Italia S.p.A.Città 2 Milano, 29 Aprile 2014 As a minimum, a typical RPAS is composed of : Aerial Vehicle (aircraft) Payload(s) Data Link Systems Control Station (Ground Control Station + Launch & Recovery System) Remotely Piloted Aircraft System Components

© Generali Italia S.p.A.Città 3 Milano, 29 Aprile 2014 AVIATION Remotely Piloted Aircraft TP Liability (including War and Terrorism) Aviation Product Legal Liability Aircraft Hull A.R. / W.R. Spare Parts Pilot Loss of Licence Personal Accident (?) AND... NOT AVIATION Property / Transit Model Aircraft TP Liability Insurance

© Generali Italia S.p.A.Città 4 Milano, 29 Aprile 2014 Third Party Liability Covers liability to third parties arising out of a loss event causing bodily injury and/or property damage to third parties as a consequence of RPAS failure.* Physical loss or damage to RPAS Physical loss or damage to RPAS (airframe, payload) whilst in use/operation/testing Spare Parts Physical loss or damage to Spares (parts not attached to the RPAS) * Cyber Liability, privacy and data implications are not covered under the AVN policy Insurance

© Generali Italia S.p.A.Città 5 Milano, 29 Aprile 2014 RPAS Operators RPAS Operators clients RPAS Manufacturers RPAS Distributors Maintenance Operators RPAS Pilots Insured

© Generali Italia S.p.A.Città 6 Milano, 29 Aprile 2014 Risk Assessment - 1 Certifications, Registrations and Authorisations (RPA, Operator, Pilot) MTOM – airframe and payload RPAS type and model Use and operating environment Mode and area of operation (controlled, restricted or segregated airspace) Flight profile / hours Safety systems Pilots experience and Licence Loss history Legal framework (liability, contract, air navigation)

© Generali Italia S.p.A.Città 7 Milano, 29 Aprile 2014 Risk Assessment - 2 RPA TYPE Make & Model Fixed Wing or Rotor Wing Fleet Total Time Number of Air Vehicles per GCS Maximum Take Off Mass (MTOM) Wingspan or Rotor Diameter Maximum Operating Altitude

© Generali Italia S.p.A.Città 8 Milano, 29 Aprile 2014 Risk Assessment Maximum Range Maximum Endurance Single Engine or Multi Engine Engine type Automatic deployment of any recovery parachute in case of malfunction during the flight

© Generali Italia S.p.A.Città 9 Milano, 29 Aprile 2014 Risk Assessment – 3 Operating Environment Segregated / Not Segregated Congested / Not Congested Urban / Semi-Urban Industrial / Rural Archaeological Coastal (inshore) / Maritime (offshore) Mixed Operations Specialised / Non Specialised (remunerated or not) Critical / Non critical Civil / Government / Military Non-hazardous / Hazardous

© Generali Italia S.p.A.Città 10 Milano, 29 Aprile 2014 Risk Assessment - 4 USE (an extremely versatile, flexible and cheap tool) Aerial Work (Video, photo, data collection, drone journalism, etc…) Scientific research (environmental, atmospheric and meteorological sensing) Agricultural (e.g. crop/forest survey, monitoring, spray etc.) Law enforcement (e.g. border patrol, peacekeeping, crowd control etc.) Disaster/emergency monitoring (e.g. fire/hazard survey) Maritime / coastal surveillance (homeland security) Telecommunications / satellite relay / digital divide Utilities inspection (e.g. powerline monitoring) Andmany others

© Generali Italia S.p.A.Città 11 Milano, 29 Aprile 2014 Risk Assessment - 5 PAYLOAD Make & Model Simultaneously on Board and Function Value(s) Hazardous materials or components (e.g. chemical or radioactive)

© Generali Italia S.p.A.Città 12 Milano, 29 Aprile 2014 Risk Assessment - 6 LAUNCH & RECOVERY Take-off (area, conventional undercarriage, launch rail, rocket assisted) Recover/land (area, parachute, conventional landing on undercarriage) Manoeuvres fully autonomous or external pilot? GCS MANAGEMENT & OPERATORS Number of operators per GCS Qualification of Operators (Commander and Pilot(s)) Total RPAS type hours

© Generali Italia S.p.A.Città 13 Milano, 29 Aprile 2014 Loss & Claims Handling Analysis of legal framework / liability Hold Harmless Agreements and Waiver of Subrogation Operator / Client responsibilities agreements ATC (integration of RPAs within non – segregated airspace and within the Air Traffic Control System) Value Assessment Accident Investigation / Survey

© Generali Italia S.p.A.Città 14 Milano, 29 Aprile 2014 Liability scenario Manufacturer Operator / Owner / (and Client ) Datalink (Cyber liability) Airport / landowner Pilot in command C.A.A. and Air Traffic Control

© Generali Italia S.p.A.Città 15 Milano, 29 Aprile 2014 Insurance / Liability ENAC Regulation Remotely Piloted Aerial Vehicles Insurance General Provisions for RPAS Art. 20: A RPAS cannot be operated without valid, adequate third party insurance, not less than the minimum insurance coverage of the table in Article 7 of Reg. (EC) No 785/2004 Liability Operator Pilot Art. 17 : Pursuant to the Code of Navigation, the pilot of the RPAS is responsible for the safe operation of the flight Client Art. 6:..in case of specialised operations carried out for third parties, an agreement must be signed between the RPAS operator and the client by which the parties define their respective responsibilities and agree on the suitability of RPAS for the planned operations...

© Generali Italia S.p.A.Città 16 Milano, 29 Aprile 2014 Some insurance consequences Not easy Risk Assessment / Risk quotation Higher Hull Rates Higher Hull Deductibles / Liability Deductibles Hull Deductibles applicable also to Total Loss Higher liability premium Difficult and expensive claims handling

© Generali Italia S.p.A.Città 17 Milano, 29 Aprile 2014 QUESTIONS ? THANK YOU !