The insurance from HDFC ERGO is for commercial drone owners/operators and will offer coverage of third party liability claims


HDFC ERGO to offer insurance for drone operators in India. (Credit: Pixabay/Michael Kauer.)

India-based insurer HDFC ERGO has partnered with TropoGo, a deep tech start-up, for the launch of ‘Pay as you Fly’ insurance for drone-owners in India.

The insurance policy will offer commercial drone owners and operators coverage for third party liability claims for property damage and bodily injuries. It is also touted to be the first-of-its-kind in the non-life insurance segment in India, offering on-demand and ‘pay as you fly’ concept.

During the present situation of the Covid-19 pandemic, unmanned aerial vehicles (UAV) or drones are being considered and are also actively being used by the State and Central Governments.

The drones have proven to be efficient and beneficial in public surveillance, crowd monitoring and in certain areas, they are also being used for delivering essential medicines.

In the future, drones are also considered to have the potential of taking up various functions of different businesses, where humans may be unable to perform the tasks.

The insurance has been introduced keeping in mind the safety of third-party assets

In spite of the commercial advantages drones bring, the safety of third-party assets is still unanswered. To address the need, the insurer is offering the new insurance policy which will provide commercial drone owners/operators Third Party Liability claims.

The third-party coverage will include the losses incurred while conducting activities such as survey, mapping, monitoring, disaster relief initiatives, civil administration services, usage during festivals and events, property management and travel & tourism purposes among others.

Registered drone owners/operators holding commercial drone pilot’s certificate or a license issued by certified training schools in the country are eligible for the insurance policy.

HDFC ERGO General Insurance Company managing director and CEO Ritesh Kumar said: “The risk landscape continues to evolve. With the advancement in technology, new risks are emerging that open up new horizons for us to offer innovative products.

“Today, drones are becoming more and more popular in events and other outdoor commercial activities, which require skilled professionals to operate them. But, mistakes in operating and equipment failure may cause damage to third parties.

“Considering this we are launching this cover under our Aviation Insurance, which is a first in the industry, to safeguard drone owners and pilots from any third-party liability while flying a drone commercially.”