1. January 2015 The Corporate Publication of Dennis Jankelow & Associates Aviation Insurance Brokers P. O. Box 71626, Bryanston, 2021. Telephone: 0800FLYING. Website: www.jankelow.co.za. Email: mail@jankelow.co.za Windsock Click to turn pages

2. AIRLARITIES Dollar Rand and Under- insurance The relevance of the effect of the dollar rate on insurance is probably more relevant today than it has been for many months. If you own an aircraft and your insurance policy reflects an SA Rand sum insured, you are almost certainly under-insured as you read this article. Most insurers these days will allow you to specify a US Dollar value for your aircraft, your premium will still be in Rands but he sum insured will be converted into Rands on the date of loss even if the Rand has continued to depreciate in the meanwhile. By effecting your insurance coverage in US$ you will have also established the beginning of a very important paper trail towards determining your CGT liability in the event of the future disposal (whether in a sale or an insurance settlement) of the aircraft. For advice as to how to go about establishing Dollar- linked insurance coverage call DJA now. 0 800 FLYING Page one A f f a i r s C u r r e n t Overheard following a Lear’s very steep climb out of JIA: Controller: “Lear 12345, after retrieving your passengers from the tail section, contact departure… Deadly Sins of Aviation Insurance When submitting a claim there are a few “Deadly Sins” which no Insurer is able to overlook, no matter how sympathetically they may wish to consider your claim. Committing a Deadly Sin will most likely lead to the denial of coverage, even if the actual loss was in no way connected. So, in no particular order of important here are the 7 Deadly Sins of Aviation Insurance: Flying IMC without a valid instrument rating Running out of fuel in-flight Commencing a flight without a valid C of A Flying without a valid pilot licence Operating an air service without an air service licence Overstating any pilot’s flying experience on an insurance proposal Understanding any loss history on an insurance proposel Commit any of these 7 Deadly Sins and chance are pretty good that you’ll e left without coverage, irrespective of the actual cause of your loss. The home base of your aircraft When arranging your insurance, you told your Insurers that your aircraft was based at Lanseria. Your policy provided a geographical area of coverage described as: “Africa, south of the equator”. Permitted uses include commercial passenger transport operations. A few months later you obtain a contract in Mozambique…is your aircraft covered? Where your aircraft is based is crucial information, the Insurer anticipates all flights will commence at Lanseria and the aircraft will sleep at Lanseria. Perceived risk may change regarding another base: lack of infrastructure, availability of fuel, cost of recovery in even of a loss, political instability, regulated ATCs, all these play a part in an Insurer’s assessment of its exposure to loss.