What is the difference between a “Smooth” Liability Limit and a”Sub-limit” ?
Sub-Limit The most common liability limit for Pleasure & Business aircraft in today’s aviation insurance market is a liability limit of $1,000,000 per occurrence limiting each passenger to a maximum of just $100,000. This limit allows for Property Damage claims or Bodily Injury claims to non-passengers (People on the ground or in other aircraft) of up to $1,000,000 limit, however your passengers in your aircraft are limited to just $100,000 per passenger. This is called a “Sub-Limit” policy. This liability limit is less expensive than a ‘Smooth’ limit for the obvious reason that the insurance company’s liability exposure is significantly reduced. Smooth A “Smooth” Liability limit is $1,000,000 Combined Single Limit ‘CSL’ per occurrence including passengers. This limit allows for Property Damage claims or Bodily Injury claims to Passengers or Non-Passengers of up to $1,000,000. The ‘Smooth’ limit does not limit your passenger liability to any lower sub-limit. This option is more expensi
