Why does the wording of the write-back endorsements seem to allow the insurance company so much latitude?
Even these write-back endorsements have exclusions and they can cancel the coverage all over again on only 7 days notice. Why? Due to the volatility of war and warlike acts, the only way insurance companies can extend coverage without jeopardizing all of their assets is with a provision allowing them to stop their losses should events warrant. Seven days notice is standard. Automatic termination can occur upon the hostile detonation of a nuclear device or if permanent members of the United Nations Security Council go to war with each other. Why does it cost so much to buy this coverage back? The “soft” aviation insurance marketplace of the last several years led aviation insurers to offer the broadest coverage possible in order to attract policyholders. This included the availability of war and related perils coverage at no charge or at a modest premium. Until September 11, 2001, there had never been a significant, credible war-risk threat actually carried out on domestic aircraft with
