In Europe, professional drone operators flying over the territory of a EU Member State must comply with Regulation (EC) 785/2004 on insurance requirements for Air Carriers and Aircraft Operators. Article 4 indeed stipulates that “‘Aircraft operators […] shall be insured in accordance with this Regulation as regards their aviation-specific liability in respect of […] third parties.”

The main purpose of the Regulation is to ensure that victims of an accident have access to adequate compensation by establishing a minimum level of insurance requirements. 

Despite the exciting prospects offered by this new technology, all users should keep in mind that drones are aircraft which can create significant damages. Recent incidents and accidents coming from real life include:

• Property damages, such as drones hitting or crashing into cars
• Near misses, such as camera drone crashing just inches behind the skier Marcel Hirscher (YouTube)

In such cases, your insurance company may indemnify the victim up to a certain extent, provided that you have complied with the terms and conditions of your insurance policy.  

Regulation (EC) 785/2004 also defines the minimum level of insurance coverage per accident, depending upon the Maximum Take-Off Mass of the drone. The minimum amount corresponds to one million Euros per accident.

All professional drone operators should be insured for damages caused to third party with a limit of no less than 1 000 000 Euros.