The Binder 50.3 | Fall 2025

VOL. 50 NO. 3 — fall 2025

PRESIDENT’S MESSAGE

4TH QUARTER CLOSE AGENT / BROKER DIVISION

AVIATION INSURANCE INFRASTRUCTURE: INDUSTRY GROWTH & THE LAW OF LARGE NUMBERS ATTORNEY DIVISION

SPACE LAW IN THE EU

CLAIMS DIVISION

JUST WHAT DO I DO? UNDERWRITER DIVISION

AN UPDATE ON PROPOSED PART 108 2025 AIA OPEN HIGHLIGHTS

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table of contents

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20

President’s Message

women in the industry

06

25

Aviation Insurance Infrastructure: Preparing for Aviation Industry Growth & The Law of Large Numbers

An Update on Proposed Part 108

4th Quarter Close

Kristen Suarez

agent / broker Division

underwriter division

27

14

2025 aia open highlights

attorney Division

30

Space Law in the EU

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safety report

Bridging the Leadership Gap: A Risk Management Opportunity for the Insurance Sector

claims division

Just What Do I Do?

EDITOR

KIM ROSENLOF

The ideas and opinions expressed by authors of articles published in The Binder are wholly their own and do not necessarily represent those of the Aviation Insurance Association.

The articles are not provided as legal advice.

www.aiaweb.org 3

Published by the Aviation Insurance Association 2365 Harrodsburg Road Suite A325 Lexington, KY 40504

PRESIDENT’S MESSAGE

4 quarter close th

Ian Wrigglesworth, Global Head of Aviation and Aerospace Specialty, Guy Carpenter aia president 2025–2027 Dear all,

The aviation market’s technical ability to understand and calibrate risk has become ever more impressive.

We live in an age where data is readily available, and models provide the backdrop to underwriting decisions and increase management’s comfort levels. There is also a deep understanding, by seasoned underwriting professionals, of aircraft or product manufacturers and portfolios of risks in the reinsurance world. This knowledge is impressive, but the supply and demand curve strongly influence these two essentials. When capacity and risk appetite increase, technical pricing and understanding risk become poor relations.

I feel I am well into my tenure as President, and I appreciate the opportunity.

I trust that those who attended AIA’s golf outing in Atlanta on September 22 had a wonderful time. This has become an annual fixture and is very well supported by AIA members. The format enables players of all capabilities, and it is a great networking event. View the highlights on page 27 in this issue.

AIA’s annual London Symposium is scheduled for November 4. It is always a pleasure to see so many of you there. I will be there with nearly all the AIA board.

We have a full schedule of excellent speakers followed by drinks. You are welcome to join as much as you can.

The aviation market’s technical ability to understand and calibrate risk has become ever more impressive.

Even with fluctuating market pricing, we will continue to focus on how coverage is worded and ensure that every claim scenario is thoroughly explained. We all think we have a great deal of understanding in our respective insurance or reinsurance markets, but I learned many years ago that “that’s the way it has always been covered” is not an argument that a court understands. I value wording professionals very highly, and I believe they should be celebrated and encouraged in our aviation insurance market.

Since July 1, I have been going through the process of listening to, planning with, discussing, and advising clients and reinsurers alike. This has been an extraordinary period with strong ideas for the upcoming renewals. These strong ideas, however, are being tempered by the significant amount of capacity available.

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PRESIDENT’S MESSAGE I also encourage all learning. I am proud that the AIA provides and promotes learning not only to those new to the aviation insurance business, but also refreshes learning each year for those who are seasoned professionals. Thank you to AIA’s Education Committee. Mark your calendars for our continuing insurance education (CIE) program at the 2026 AIA Annual Conference on Wednesday, May 6, in Dallas, Texas.

Ian Wrigglesworth Ian Wrigglesworth currently serves as Global Head of Aviation and Aerospace Specialty at Guy Carpenter, based in London, U.K. As an active AIA member for more than 25 years, Ian has served in several capacities on the AIA Board of Directors. He assumed the role of AIA President in April 2025.

I wish you all a good 4th quarter as we work towards safer skies and a disciplined and professional marketplace.

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agent / broker division

Aviation Insurance Infrastructure: Preparing for Aviation Industry Growth & the Law of Large Numbers Rachel Lewis, AMA-CPM, Operations Manager, Schrager Hampson Aviation Insurance Agency AIA Director-Elect, Agent/Broker Division Introduction

The FAA Advanced Air Mobility (AAM) Implementation Plan, discussed at the 2025 AIA Conference, seeks to build the infrastructure to accommodate this lowaltitude flying and increased air travel.2 My immediate reaction to this segment was, “What about the aviation insurance industry’s infrastructure?” If low-altitude air travel becomes a frequent means of travel by 2030, does the industry have the bandwidth to handle that?

And could we handle that combined with the projected growth in other areas?

It’s no secret; the aviation industry is anticipating widespread growth over the next two decades, as the FAA has recently released projections spanning 2025 through 2045. This growth, however, isn’t in all the areas one might expect.

Growth is expected in both current and emerging risks.

I should note that emerging risks aren’t just from drones anymore. Emerging risks in both the commercial space and Advanced Air Mobility (AAM) sectors are anticipated to grow substantially. According to NASA, the Advanced Air Mobility mission aims to bring “the movement of people and goods off the ground and into the sky. This… will include low-altitude passenger transport, cargo delivery, and public service capabilities.”1

Moreover, the aviation insurance industry has always been touted as the exception to the “law of large numbers,” which is a long-held principle of insurance. So, the other question I’ve been asking myself is: are we as an industry prepared with the technological tools needed to utilize the benefits that the law of large numbers could offer in our industry?

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agent / broker division Forecasted Growth Summarized

Additionally, the pilot trend of aircraft selection based on technological offerings For general aviation, the bread and butter has already been made clear as more for the majority of our industry, the overall pilots are opting out of updating avionics fleet is expected to grow from 214,222 in aging airframes and setting their sights aircraft (as of 2023) to 238,350 by 2045, on newer, more technologically equipped a cumulative growth rate of about 11% aircraft instead. Like the turbine category, over the next two decades.3 While overall the light-sport-aircraft (LSA) fleet, which is growth is slowing after the post-COVID-19 often equipped with the latest technology, is boom, the interesting factor in the FAA’s forecast to grow by 3.1% per year, almost projections is that largest segment of the doubling its 2023 fleet to a total of almost fleet, fixed-wing piston aircraft, is predicted 5,900 by 2045. As the MOSAIC ruling to shrink from 2023 to 2045 at an average to expand the decline of 0.1% definition of LSA per year due to wasn’t noted in the the number of FAA’s projections, deliveries not it’s hard to say keeping up with how much of this the number of growth, if any, was retirements.4 attributed to that This decline is factor. Regardless, offset by increases I know this is a expected for all sector we will all other segments, be watching very but primarily the closely. As barriers turbine segment. to entry are The turbine fleet lessened, it’s safe to is expected to say that insurance Aircraft Fleet projections by category grow to 54,685 by 6 for recreational as shown by the FAA. 2045, a cumulative LSAs will be in growth of 57.9%.5 While the turbine fleet higher demand. Brokers should expect the will still be a much smaller piece of the pie variety of requests to increase as the focus comparatively, this will be a notable shift on the cookie-cutter piston aircraft shifts in the coming years as domestic economic away to other categories. growth and corporate profits drive growth It’s not just fleet size; the GA market is in the turbine sector. projected to grow even faster by hours flown, with a cumulative growth projection of 19% by 2045.7

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agent / broker division units is expected to peak over the next Flight hours in single-engine piston-powered five years to 1.93 million by 2029, while aircraft saw record increases in recent commercial units are projected to reach 1.18 years, alongside record highs in new pilot 8 million by 2029.12 While growth is expected certifications in almost all categories.

Despite these statistics, hours for fixedto slow after 2029, the drone category wing pistons are projected to decrease in holds the unique advantage of increasing the coming years efficiency and primarily due to safety in the retiring aircraft. industries it serves, To add perspective, thus becoming an the FAA data appealing solution shows that in 2023, to old and new 24.2% of the fixedproblems alike. wing piston aircraft Finally, emerging were 60 years old markets could lead or older, which is to unprecedented only projected to changes to increase over the the way we do forecast period.9 business. The Once again, this is commercial space set to be countered sector is projecting by an increase in record growth the turbine hours over the next 10 Aircraft hours flown projections by flown. years. While the category as shown by the FAA.10 On the broker side, projections are we should expect to see a steady increase limited by using only known operators’ data, in transition pilots, industrial aid risks, and the FAA has estimated between 2,067 and owner-flown turbines into 2045. Given 4,010 authorized space operations by 2034, these trends, it’s essential that transition from just 148 recorded in 2024.13 training options be accessible both from an The FAA defines Advanced Air Mobility insurance and an overall cost perspective.

(AAM) as: “an umbrella term for aircraft that are typically highly automated, The UAS /drone sector has experienced electrically powered, and have vertical takesteady growth over the last 10 years and off and landing capability.”15 In other words, is expected to continue growing as the eVTOLs. AAM is a newer and even less introduction of drones in the National predictable market compared to commercial Airspace System (NAS) offers expansive space. However, the FAA expects AAM possibilities, primarily in commercial 11 operations. The number of recreational

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agent / broker division

FAA Projected Commercial Space Launches 14 entry to service between 2025 and 2027, with gradual growth until 2030,16 and has led initiatives to prepare for the entry into service, including its 2023 Implementation Plan.

Although the introduction of aircraft into everyday travel accessible to those of broader financial status is a territory we have not yet explored, it is one we must prepare for with the data we have now. As an industry, insurance relies on predictability, and while aviation technology will likely be forever changing and at the forefront of technological advancements, it is this advancement itself that becomes the predictability of our industry. Thus, our learned ability to adapt to a changing market will prove essential in the coming years.

The plan outlines several areas of collaboration and infrastructure development necessary for this entry into service, including partnerships with both government and nongovernmental organizations, as well as plans to engage with community stakeholders.17 A drastic shift in transportation away from traditional motor vehicles to aerial vehicles could prove challenging for our industry if the technology and manpower are not in place to support it. With 296.6 million registered vehicles in the U.S. as of 2024,18 it is safe to say aircraft insurance won’t have the volume of data that the auto insurance industry has anytime soon.

Law of Large Numbers: A Brief History Though it is true that the total number of aircraft in the market is dwarfed by the number of registered road vehicles, I never understood why the Law of Large Numbers couldn’t apply to the aviation insurance industry. The Law of Large Numbers is, in actuality, a statistical principle.

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agent / broker division The Law of Large Numbers asserts that statistically, the outcomes of seemingly unrelated events tend to stabilize and become more easily predictable when the sample size is large enough. The predictability provided by the Law of Large Numbers enables insurers to set fair premiums for each risk, creating a pool of premiums for which the claims of the total client base can be paid. Within our industry, the lack of available tools — including quoting tools, training tools, and general supporting software — appears to be a direct result of the absence of the Law of Large Numbers. In other words, there isn’t enough predictability or volume to allow companies to invest in these tools.

While there isn’t a clear number now, there might have been a few clear numbers for Jacob Bernoulli, the mathematician credited with first discovering the Law of Large Numbers and incidentally the uncle of the famed Daniel Bernoulli, who most aviators will recognize as the author of Bernoulli’s Principle. Around 1687, Bernoulli started working on the final part of his magnum opus Ars Conjectandi (The Art of the Conjecture). He posed the question: “How do you determine the true probability of an event in situations where the sample space isn’t fully accessible?”19 Bernoulli’s question led him to discover the mathematical equation Bernoulli’s Theorem, later called “The Weak Law of Large Numbers.”20 Interestingly You may be enough, his asking yourself, book records “So, what’s the the sample magic number sizes he used that allows the to discover Law of Large this theorem.

Numbers to He estimated apply?” minimum samples sizes The truth such as 25550, is, there is no The last two pages of Ars Conjectandi showing 31258, 36966, one number; Bernoulli’s estimation of minimum sample sizes etc., for varying the principle needed to achieve specified degrees of accuracy.21 degrees of just asserts accuracy. Though it remains that there that as the data sample grows, there will truly is no magic number, what will remain be stabilization of the data average and fundamentally true, is that as the sample thus, predictability. There are far too size grows, accuracy improves. many possible variables in any given circumstance to give one magic number.

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agent / broker division Looking Forward

can offer relief as the number of aviation risks rises. Brokers who adopt this mindset will be the ones who continue to grow and thrive in a changing world.

How can the aviation insurance industry prepare for growth in so many different areas? As someone who began their career in the tech industry managing data and automation, the answer is clear.

The embracing of technology will be the difference between successful partnerships with current and emerging industries and a burnt-out aviation insurance workforce with high turnover and inadequate capacity to service those industries.

Finally, and most importantly, I believe that supporting and empowering the upand-coming brokers in our firms will be essential to managing our growing books of business. Being the second director-elect in a row to run unchallenged, it is clear we need to empower the next generation of aviation insurance brokers to become involved and give them a seat at the table.

Additionally, I’d like to encourage brokers to get involved. AIA members of any membership level can support our industry and its emerging stars by volunteering to serve on committees within the AIA. To find out more about these committees and other ways to become involved, visit the AIA website here.

In recent years, new insurance companies have emerged, leading to a much-needed shift towards more automated quoting and servicing processes provided by some of these companies. However, some carriers still rely on manual underwriting review for most of their aircraft quotes, along with manual endorsement and certificate processes.

While the anticipated growth is in some ways daunting, I’m confident that our industry will rise to the occasion as it has in the past. To do this, the aviation insurance industry must embrace technology, tools, and new ways of doing business to emulate the growth in technological advancements that fuel the greater aerospace industry.

Additionally, empowering the next generation of brokers with education and the tools they need to be successful will prepare the industry to keep up with the demand that everyday aircraft travel could bring.

As insurers prove that many risks can be quoted automatically with success, the lack of large numbers can no longer be used as an excuse for inefficient processes.

Although individual brokers cannot control the technology offered by each insurance company, we can use the tools at our disposal to automate as much as possible.

The most essential tool in the toolbelt of any aviation insurance broker is partnership.

Relationship building, with clients and insurance companies alike, has always been a crucial part of an aviation insurance agency’s success. Expanding partnerships with new vendors and software providers for automations and integrations, when feasible,

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agent / broker division Rachel Lewis began her career as an assistant to the president at Schrager Hampson Aviation Insurance and is now a licensed insurance agent.

In May 2025, Rachel was elected to the AIA

Board of Directors as the Agent/Broker Division’s Director-Elect. She will serve as Director-Elect for one year before beginning her two-year Director term.

Works Cited 19. S tatistical Modeling and Forecasting, Sachin Date. n.d. On Jacob Bernoulli, the Law of Large Numbers, and the Origins of the Central Limit Theorem. Accessed 08 28, 2025. https://timeseriesreasoning. com/contents/history-of-law-of-largenumbers/.

1. N ational Aeronautics and Space Administration. 2025. Advanced Air Mobility Mission. 04 10. https://www.nasa.gov/ mission/aam.

2. F ederal Aviation Administration. 2023.

Advanced Air Mobility (AAM) Implementation Plan: Near-term (Innovate28) Focus with an Eye on the Future of AAM Version 1.0. July.

20. Ibid.

21. B ernoulli, Jakob. 1713. Jacobi Bernoulli profess. basil. & utriusque societ. . . . Ars conjectandi, opus posthumum : accedit Tractatus de seriebus infinitis, et epistola Gallice scripta de ludo pilæ reticularis. Basileæ : Impensis Thurnisiorum, Fratrum. Accessed 08 28, 2025. https://archive.org/details/ jacobibernoulli00bern/page/238/ mode/2up.

3. F ederal Aviation Administration: Forecast and Performance Analysis Division. 2025.

FAA Aerospace Forecast Fiscal Years 2025– 2045. PDF — Forecast, Washington, DC: Federal Aviation Administration.

4. – 16. Ibid.

17. Federal Aviation Administration, Advanced Air Mobility (AAM) Implementation Plan 18. Hedges & Company. 2025. How Many Cars Are In the US: US Vehicle Registration Statistics. Hudson, OH, June 11.

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attorney division

space law in the eu mark meyer, partner, hfw aia director, attorney division

This article focuses on the proposed harmonisation of space law in the European Union, continuing the theme covered in one of our panels at the CLE in Orlando about insurance for space risks and liability in the US market. This area of regulation is of increasing importance to the insurance market. Many thanks to Jean-Baptiste Charles, James Jordan, and Octavie Ralet of HFW for the update on EU Space law.

space activities, with heterogeneous standards and requirements imposed on companies operating across the bloc.

This fragmentation in the policy framework is detrimental to business and negatively affects the EU’s competitiveness in space, as explained by the Commissioner for Defence and Space, Andrius Kubilius.

The EU Space Act is intended to create a harmonised framework designed to “ensure safety, resilience, and environmental responsibility, while helping companies grow and scale up across borders.” The act would also establish “ambitious new measures to make Europe’s space sector cleaner, safer and more competitive.”

We also report briefly on Cambodia’s accession to the Montreal Convention and the judgment of the English High Court on whether aircraft and engines leased to Russian operators are considered an insured loss.

EU Space Law On 25 June 2025, the European Commission published its muchanticipated proposal for an EU Space Act. Currently, space-related laws in the EU are developed at the member state level for their respective national implementation.

This results in inconsistent approaches to regulating

The act would . . . establish “ambitious new measures to make Europe’s space sector cleaner, safer, and more competitive.”

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The Space Act is set to address current challenges faced in the space domain, such as the increasingly threatening risks of collision due to increased congestion, and high-level threats from cyberattacks and electronic interference against space infrastructures.

attorney division The proposal is built on three key pillars:

The EU Space Act proposal will now undergo the ordinary legislative procedure, involving negotiations by the European Parliament and the Council.

Safety: Establishing new rules for the tracking of space objects and limiting the creation of new debris to preserve a secure and uninterrupted access to space

Cambodia In May 2025, Cambodia became the 141st nation to accede to the Montreal Convention 1999, leaving Laos and Myanmar as the only states within the SEA region not to have ratified it. The Convention enables Cambodia to standardise documentation and the liability regime applicable to the international carriage of passengers and cargo, bringing it into line with much of the global aviation community. Given the country’s strategic plan to grow its aviation presence, seen among other things by the recent opening of several airports in the country, its accession to the treaty is an important step along this path.

Resilience: Imposing tailored cybersecurity requirements alongside a duty for space operators to conduct thorough risk assessments to protect space infrastructure and ensure business continuity Sustainability: Creating common responsibilities for operators to measure the environmental impact of their space activities to ensure consistent verified data, and encourage innovation by supporting the development of innovative technologies, such as in-space servicing, to extend satellite life and reduce debris

UK High Court

The new rules would apply to EU space assets and to both EU and non-EU operators who provide services in Europe.

The EU Commission indicated that support will be offered to mitigate potential costs for companies.

In June 2025, the English High Court ruled on claims by Western lessors of aircraft and engines leased to Russian operators that sought indemnification for their aircraft and engines said to be lost. The lessors

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attorney division argued that the aircraft and engines were lost in the sense that they were unlikely to be returned during their service life, and the lessors should therefore be considered to be permanently deprived of them.

Indemnification was sought from insurers of the lessors’ Contingent Hull and Liability policies. The High Court considered that the effect of Russian government legislation, which came into force on 10 March 2022, was to restrain the return of the aircraft and engines. The legislation was therefore the proximate cause of an insured loss within the War perils endorsement. The High Court refused permission to appeal the judgment, although war insurers can apply directly to the Court of Appeal for permission to appeal.

The lessors’ claims against the All-Risks insurers failed.

If you would like to contribute to future articles for The Binder, please contact Attorney Division Director Mark Meyer or the AIA office. We would like to cover a wide range of topics and developments from across the aviation and aerospace sectors.

Mark Meyer is an experienced insurance and reinsurance solicitor with almost 30 years of experience. Mark acts mostly for reinsurers with particular focus on aviation and property disputes.

Mark became Director of the Aviation Insurance Association’s Attorney Division in April 2025. He is also a member of the Professional Liability Underwriters Society and ARIAS.

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claims division

just what do i do?

Jeff Sheets, Vice President, Regional Claims Manager, Applied Underwriters Aviation AIA Director, Claims Division My son graduated from college and was like many graduates. He quickly became disappointed that companies weren’t rushing to hire him into their public relations department. He sent out dozens of resumes, but the only places that showed interest were cold-call sales jobs. After five months, we discussed what he really wanted to do. His list sounded a lot like what I get to do every day.

AI does not feel disappointment or deal with the repercussions of its decisions when something goes “off the rails.” No one is going to cause AI physical pain, or give it joy in the sense that we feel at the birth of a child, or a child receiving a puppy. AI won’t feel anything if it’s fired, or know panic when the faithful friend gets lost. AI cannot place a warm hand on a shoulder or even shake hands in agreement or thanks. Someday, someone may artificially learn to replicate these, but AI does not require air to fill its lungs thousands of times a day. It will never be “human.”

When I stopped again to consider some of the deeper issues we deal with, I realized we are so very vital to the world. This is not an overstatement. Consider Artificial Intelligence (AI) as an example. AI can assist in many ways with my job, and some human may decide we are dispensable, but the reality is AI communication has no breath in it, no shared experience in being “human.” As much as the movies try to create the illusion that computers can be self-determining beings, AI is a collection of our experiences that they did not earn. AI is programmed by men and women who homogenize everyone’s experiences, and AI has never faced the loss of something treasured.

I say this because what I get to do every day is to be human. Through the career path I’ve taken, I get to meet new people and help them overcome their loss.

Even if it is just a tear to the fabric of an old airplane, it matters to that person that I offered to help them fix it. It becomes personal.

the reality is AI communication has no breath in it, no shared experience in being “human.”

Life as we know it cannot go forward unless we all work together every day. Insurance is not just a contract;

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claims division it is a means to let me live, to own a house, a car, an airplane, a horse… whatever. It allows me to travel to see things, and to even watch sporting events (Go Dodgers!).

The fact is, without us all sharing in the risk associated with experiences, many people suffer needlessly. What I do stems from the fundamental agreement to help carry one another’s burdens when life is overwhelming.

This is the core of what we are tasked to do.

We actually get paid to just help people.

heal, even if it is just to repair a tear. We are important, and the decision to work in this industry as a claims person has never been more important.

My son is now working in the claims department of a personal lines insurer. We talked about this specifically when he asked if I liked my job. I gave him the off-the-cuff reply citing some of the above, but after a month, he says he does enjoy it. It has most of the things he had listed. Professional, yet personal.

The human body is amazing in that everyone sees the head or hands or feet and want to be that part of the body that gets all the accolades and glory. But the truth is, the loss of a kidney can be more devastating than losing an arm or eye. It has the responsibility of cleaning our very life blood that we need to exist and live.

Without everything functioning together on the inside of us (the parts that never get seen), we get sick and can die.

I can probably count on two hands now the number of days in the past 30 years that I have not enjoyed my work. The nice thing is that after 20+ years in aviation, I have a lot of shared experiences with many of you, and the work we have done to just help people. I am proud to be an adjuster.

Jeff Sheets is vice president and claims manager with Applied Aviation. A private pilot, Jeff has been in the insurance industry since 2003, and he has spent the past 17 years in a management capacity. Jeff was elected as Director-Elect of the Claims Division in May 2023 and began his two-year term as Director of the Claims Division in May 2024.

Claims is a critical function as we are the people who do the financial caring. We deliver the checks that enable people to

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women in the industry The AIA is pleased to provide this series featuring women in the aviation insurance industry.

Led by AIA Board Treasurer Nicole Wolfe Stout, interviewees will represent all facets of aviation insurance.

Women in the Industry: Kristen Suarez Nicole Wolfe Stout, Partner, Strawinski & Stout, P.C. AIA Treasurer Name: Kristen Suarez Title: Executive Manager Company: BWI Aviation Insurance Agency, Inc. City / State / Country: Warrenton, NC Years in the industry: 9 Can you share your journey into the aviation insurance industry? What was your first role?

relationships, and adapt quickly in a fast-paced environment. I discovered that the same discipline, focus, and leadership skills I had built through martial arts translated directly into helping clients navigate the complexities of aviation insurance.

My path into the aviation industry was unique.

Before insurance, I earned my 4th degree black belt and worked as a Taekwondo instructor and program manager for two schools in Orange County, California. While I loved teaching and leading, I was looking for something more stable, and in May of 2016, I found BWI.

That foundation transformed me into the leader I am today.

Over the years, I’ve grown from managing policies to managing people, overseeing operations, and driving strategy as Executive Manager of BWI. I’m also proud to serve as the Director for Agents/Brokers with the Aviation Insurance Association, where I have the privilege of contributing to the growth and future of our industry.

I started with BWI as a producer, working renewals and binding new business. That first role challenged me in all the best ways; it pushed me to learn the technical side of aviation insurance, develop strong client

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women in the industry Who inspires you today and why?

What makes it especially meaningful is that many of our team members came to BWI with no aviation background at all. Through training, mentorship, and a willingness to work hard, they’ve built successful careers in an incredibly specialized industry. Watching that transformation — from someone unsure of aviation to becoming a confident expert who clients rely on — is inspiring.

My team truly inspires me every day. They inspire me not to give up, to keep pushing forward, and to continue striving to be a better leader and mentor.

When I see how hard they work, how much they grow, and how they challenge themselves, it fuels me to do the same.

The harder they push, the more I push — not just for myself, but for them. Their resilience and dedication remind me that leadership is about serving others and helping them reach their fullest potential.

For me, leadership is about more than just running operations; it’s about investing in people, giving them the tools and support they need to succeed, and celebrating their milestones along the way. That sense of growth and development, both for the individual and for the team as a whole, is what truly fuels my passion for this work.

What are some of the most rewarding aspects of your job?

One of the most rewarding aspects of my job is the ability to pour into people and watch them grow, both personally and professionally. I love seeing team members challenge themselves, step outside their comfort zones, and realize just how capable they are.

What has been the most surprising thing you’ve learned in your career?

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women in the industry Something surprising I’ve learned in my career is how much of this industry is truly about people, not just policies. When I first started in aviation insurance, I thought success would come from mastering the technical side — understanding coverage, navigating underwriting, and learning the ins and outs of aviation risks. While that knowledge is critical, I quickly realized that the heart of this business is in relationships.

peers, and even competitors to share insights and best practices. Most importantly, I listen closely to our clients — their evolving needs often highlight where the industry is heading.

How do you balance short-term goals with long-term vision?

I balance short-term goals with longterm vision by focusing on execution that delivers results today while always tying those efforts back to our broader strategy.

Hitting immediate targets is important, but I view them as stepping stones toward sustainable growth, team development, and the future we’re building as a company and as an industry.

It’s about building trust and connection with clients, of course, but also with industry leaders such as underwriters, and even with competitors. The aviation insurance community is unique in that way: strong relationships often open doors, create collaboration, and push the industry forward as a whole.

What is one of your most memorable experiences in the industry so far?

What surprised me most is that the true reward isn’t just in closing deals or hitting goals — it’s in the relationships you build and the impact you can have on people’s lives and careers along the way.

One of my most memorable experiences in the industry has been becoming a Director for the Aviation Insurance Association. Honestly, it wasn’t something I ever imagined myself pursuing when I first started in aviation insurance. A former AIA President, Greg Sterling, encouraged me to get more involved, and that ultimately led me to join the Board. Walking into a room full of aviation professionals — all with the

How do you stay updated with industry trends and developments?

I stay up to date with industry trends by staying actively engaged with the Aviation Insurance Association. I make it a priority to collaborate with underwriters,

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women in the industry specialized and complex. Every aircraft, pilot, and operation is unique, and policies are highly customized to reflect those risks. Another misconception is that coverage is prohibitively expensive, but with the right guidance, there are competitive options tailored to fit a wide range of aircraft owners and operators. Most importantly, people are often surprised to learn how relationship-driven this industry is; success comes not just from technical expertise, but from strong connections with clients, underwriters, and industry partners.

same goals in mind and a shared passion for the industry — was both humbling and inspiring. Taking that leap has given me the opportunity to contribute on a larger scale, connect with industry leaders, and help shape the future of our field.

What are some key trends you see shaping the future of the aviation insurance industry?

One of the biggest trends shaping the future of the aviation insurance industry is the use of artificial intelligence (AI). From streamlining underwriting to enhancing claims processing and improving customer service, AI is transforming how we work and deliver value.

It also has the potential to provide deeper insights into risk, which can help us be more proactive and responsive to client needs.

Balancing this innovation with the human side of our industry — the relationships and expertise that can’t be replaced — will be key moving forward.

What skills do you think are essential for success in this field?

I think the most essential skills in aviation insurance are people skills, honesty, and integrity. This is a relationship-driven industry, and being able to connect with clients, underwriters, and peers is just as important as technical knowledge. At the end of the day, trust is everything. People want to work with someone they know is transparent, dependable, and has their best interests in mind.

What are some common misconceptions about the aviation insurance industry?

As a leader, if you could give one piece of advice to a young woman starting her career, what would it be?

A common misconception about aviation insurance is that it’s just like auto or home insurance, when in reality it’s far more

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women in the industry afraid to take up space in rooms where your voice deserves to be heard.

Surround yourself with mentors and peers who will support you, but also challenge you to grow.

And most importantly, don’t be afraid of failure — every setback is an opportunity to learn, adapt, and come back stronger.

If I could give one piece of advice to a young woman starting her career, it would be: just go for it. Don’t hold yourself back waiting until you feel 100% ready.

Growth comes from stepping into challenges and figuring things out along the way. Believe in yourself, trust your instincts, and don’t be

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underwriter division

An Update on Proposed Part 108

Meghan Griffin, Senior Underwriter, sompo international AIA Director, Underwriter Division Although I did not specialize in unmanned aerial systems (UAS) at the beginning of my career, I could not ignore the significant changes in the airspace that occurred between 2014 and 2016. Section 333 exemptions began in 2014 on a case-by-case basis for commercial UAS usage. Part 107 was proposed in February 2015, went into effect in August 2016, and establishes the basic rules for commercial and recreational drone usage. It was expanded in 2018 to provide regulations for flying over crowds, and again in 2021 to regulate night operations. Still, UAS usage worldwide has remained relatively restricted, with most commercial operations flying under a waiver.

BVLOS regulations. Canada has also set regulations for microdrones (drones weighing less than half a pound), particularly for noncommercial use.

In early August, the United States released a draft Part 108, which, as I’m writing this article, is coming to the end of its 60-day public comment period. While Part 108 doesn’t touch on EVLOS, it adds more requirements for corporate drones, as well as expanding requirements for operating under BVLOS. It is worth noting that we do not know when Part 108 will go into effect, though hopefully we will see movement towards the end of 2026.

So, what are the major takeaways from the proposed Part 108?

In early August, the United States released a Automated Data Service draft Part 108, which . . . Providers (ADSP), FAAis coming to the end regulated entities that are a key proponent of of its 60-day public BVLOS, will be used to provide real-time data to comment period.

Ten years in, both Canada and the United States have started expanding the guidelines, specifically for UAS usage beyond visual line of sight (BVLOS).

Starting November 4, Canada’s regulations will extend to drones used in extended visual line of sight operations (EVLOS) as well as low-risk

operators, specifically in strategic deconfliction and conformance monitoring.

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underwriter division While Part 108 requires their use, ADSPs will likely have their own FAA Part in the future.

still be pulled before launch. All sorties, maintenance actions, unplanned landings, communications lost, and damage over $500 must be reported to the FAA.

Part 108 introduces three categories of UAS to be assigned under a Part 108 Certificate or Permit. Permits are for small, low-risk drones up to 55 pounds, with limits to fleet sizes depending on the type of operations.

Part 108 Certificates are geared towards riskier operations with drones up to 110 pounds under one category, and up to 1320 pounds in the other. In addition, the U.S. will be divided into five population-density categories with Cat 1 being sparsely populated, Cat 5 being dense cities, and Cat 3 being suburbia.

The final focus of the proposed FAA Part 108 involves UAS manufacturers.

While Part 107 initiated some limits on drones, Part 108 increases manufacturer responsibilities. Speed limits, weather and distance limitations, and repair sign-offs all must come from the manufacturer.

While Part 108 brings exciting new changes to the sky, it doesn’t fully address all questions regarding unmanned vehicles, as it has no other requirements for other electric vertical takeoff and landing (eVTOL) aircraft. I might have assumed we were still a few years away from seeing these aircraft in our skies, but Joby’s recent airport-to-airport flight shows they’re coming sooner than we expect. Seeing the FAA’s expansion on UAS gives me hope that the eVTOL requirements may follow shortly.

I might have assumed we were still a few years away from seeing [unmanned Part 108 focuses on both vehicles], but Joby’s recent cyber security and physical airport-to-airport flight security. For example, shows they’re coming detect-and-avoid methods are required for operating sooner than we expect. in B or C airspace. The proposed regulation also expands the TSA background check currently required in Part 107 of all commercial remote pilots to designated key personnel, especially in BVLOS operations. Part 108 adds a rest requirement for these pilots, as well as creating two new operating positions: Operations Supervisor and Flight Coordinator.

Meghan Griffin currently serves as Senior Underwriter at Sompo International. With over a decade of underwriting experience, Meghan specializes in general aviation. She holds three professional designations: Associate in Reinsurance, Certified Aviation Insurance Professional (CAIP) and Chartered Property Casualty Underwriter (CPCU). Meghan serves as the AIA Director of the Underwriter Division.

Part 108 also addresses filing flight plans by requiring corporate operators to submit a concept of operations, including a map that indicates the exact box the UAS will be flying in with take-offs and landings marked, and an estimation of their busiest days’ flight counts. NOTAMS must

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2025 aia open

2025 AIA Open Highlights The AIA hosted its 5th AIA Open at Bear’s Best in Atlanta on September 22. Over 75 golfers along with sponsors and volunteers participated in this year’s event. Thank you to everyone who joined us for a day of fun and networking on and off the greens. See highlights from the day on the following pages with the full photo gallery available on our website here.

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2025 aia open

First Place Team (Left to Right): Cruz Casados (Great American Insurance Group), Mary Gratzer (AIA), Sam Langevin (Avion Insurance), Daniel Walker (Great American Insurance Group), and Pete Falcone (Insurance Office of America)

Second Place Team (Left to Right): Preston Harris (Allianz), Mary Gratzer (AIA), Tripp Harris (Allianz), Josh Ray (Class A Insurance Services), and Robin Graham (Class A Insurance Services)

Putting Green Contest Winner: Matt Barton (Starr Companies) with contest sponsor Jim Cohrs (Underwriters Salvage Company)

Closest to the Pin: Steve Allen (Applied Underwriter Aviation, not pictured) Contest sponsor Bob McAlear (Simply Easier Payments) with Peter Guy (Applied Underwriters Aviation, accepting prize for Steve Allen) along with Class A Insurance Services’ Josh Ray (second place) and Jack Barker of RenaissanceRe (third place)

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2025 aia open

Longest Drive: Preston Harris (Allianz)

A special thank you to the AIG Ambassadors who volunteered at the AIA Open.

Thank You, Sponsors Thank you to our Sponsors who made the 2025 AIA Open possible.

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safety report

Bridging the Leadership Gap: A Risk Management Opportunity for the Insurance Sector Kyle Freiburger, CEO, First Class Leaders

People may be technically excellent, but who teaches them how to be mindful and aware of the impact they have on those around them?

We all encounter difficult teammates. But who helps us lead them effectively, instead of simply deflecting blame or distancing ourselves?

In the insurance world, our business hinges on identifying, assessing, and mitigating risk. We build models, evaluate trends, and advise clients on how to insulate themselves from costly exposure.

However, there’s a subtle, often overlooked risk that can have major consequences for policyholders across various industries: a leadership gap among their line personnel.

And what if you’re the difficult one? Wouldn’t you want those around you to know how to lead with empathy and clarity, to help you recognize how you’re coming across while also preserving your dignity and sense of worth?

Whether it’s a manufacturing floor, a flight deck, a construction site, or a logistics hub, many frontline teams are led by technically proficient individuals who have never received formal training to lead. These leaders are promoted for operational skill, not people leadership, and it shows up in ways that directly increase risk: poor communication, unresolved conflict, low morale, disengagement, and ultimately, safety lapses or claims events.

These are the nuanced human dynamics that often go unaddressed in operational environments. Yet they are fundamental to reducing risk and improving outcomes.

Understanding the Risk: The Hidden Cost of Poor Leadership In claims investigations, you can often trace the root cause of incidents to a breakdown in human interaction. Consider a near-miss that escalates because someone was afraid to speak up, or a claim that spirals out of control due to a supervisor who is defensive or authoritarian. These aren’t technical failures; they’re leadership failures.

Leadership: Not a Position, but a Way of Being Leadership isn’t defined by titles or hierarchy. It’s a mindset. It’s a way of being that influences how we present ourselves to others and how we respond to challenges.

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safety report They teach skills such as:

Poor leadership creates environments where psychological safety is low, turnover is high, and teams become reactive rather than proactive. These dynamics drive up both the frequency and severity of claims. Yet, few clients consider people leadership a risk vector, and fewer still invest in developing their frontline leaders.

avigating difficult conversations N without defensiveness. uilding trust and accountability B on the front lines. eading under pressure L and in uncertainty. ultivating self-awareness C and emotional regulation.

The Opportunity: Leadership Training as Risk Reduction

One such example is our DISC Catalyst workshop offered by First Class Leaders.

This immersive one-day experience helps frontline leaders understand their behavioral patterns, recognize team dynamics, and adjust their communication for more effective leadership. This kind of targeted training empowers line leaders to create safer, more engaged teams that translate to fewer losses.

Here’s where the insurance sector can make a real impact. By recognizing leadership capability as a critical control point, brokers, underwriters, and claims professionals can introduce a proactive strategy: recommend leadership training programs that specifically target the behavioral, emotional, and interpersonal dimensions of risk.

The most effective programs are industry-specific and focused on practical, scenario-based It’s not about sending managers to a generic seminar. learning.

The most effective programs are industry-specific and focused on practical, scenario-based learning.

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safety report

What to Look for in a Leadership Training Partner

Positioning the Conversation with Policyholders

If you’re going to recommend leadership development to a policyholder, it’s important to vet the options.

Bringing this idea to a client is all about framing the message effectively. You’re not pointing out a flaw; you’re offering an insight that enhances their resilience.

Here are three questions to guide your evaluation:

Try something like: “One trend we’re seeing in claims data is that incidents often stem from communication breakdowns or low trust in frontline teams. We’ve found that leadership development, especially at the line level, can significantly reduce these risks. Have you considered investing in that area? There are great programs out there; I’d be happy to connect you.”

I s it interactive, not a lecture? The best programs engage participants in real scenarios, role-play, and reflection. Leaders learn best by doing, not just by listening. oes it provide a clear and usable D framework? Training should empower participants with tools they can apply immediately, so the learning sticks and becomes a daily leadership habit.

This opens a consultative dialogue, positioning you as a trusted advisor who’s looking beyond the policy terms and into real operational risk.

I s it built for growth and reflection? Look for programs that help leaders understand themselves, not just manage others. Selfaware leaders are more adaptable and better equipped to manage conflict.

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safety report

The Bottom Line: Stronger Leaders, Safer Operations

The leadership gap is real, but it’s also bridgeable. Let’s help your clients get there.

Leadership may not be readily apparent in a traditional risk matrix, but its influence is pervasive. A culture of poor leadership amplifies exposure; a culture of trust, accountability, and clarity mitigates it.

Kyle Freiburger is a professional pilot with over 10,000 flight hours in aircraft such as the Embraer 190, Boeing 767, Airbus A320 series, and the Gulfstream G450. After stepping away from his role as a captain at Air Canada, Kyle now flies privately and leads First Class Leaders, a company focused on strengthening leadership in aviation.

As an insurance professional, helping clients build safer, more cohesive teams isn’t just good service, it’s good risk management. And with the right leadership training programs, you can arm your policyholders with tools that prevent incidents before they ever reach a claims file.

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Board of Directors Director, Reinsurance Division Raffaella Basile

President ian Wrigglesworth Guy Carpenter London, United Kingdom

Swiss Reinsurance Company Ltd Zurich, Switzerland

VICE PRESIDENT Luke Uithoven

Director, Underwriter Division Meghan Griffin

Kimmel Aviation Insurance Agency, Inc. Greenwood, MS

Sompo International Alpharetta, GA

Treasurer Nicole Wolfe Stout

International Director nick redgrove

Strawinski & Stout, P.C. Atlanta, GA

Price Forbes London, United Kingdom

Secretary David Hampson

Director-at-Large Michael McGrory

Schrager Hampson Aviation Insurance Agency Bedford, MA

Amundsen Davis, LLC Chicago, IL

Director, Agent / Broker Division Kristen Suarez

Director-at-Large Jeffrey t. Sutton

BWI Aviation Insurance Agency, Inc. Warrenton, NC

London Aviation Underwriters, Inc. Federal Way, WA

DIRECTOR-ELECT, AGENT / BROKER DIVISION Rachel Lewis

International Director-at-Large Paul O’Ryan

Schrager Hampson Aviation Insurance Agency Bedford, MA

Starr Aviation Toronto, Canada

Director, Attorney Division Mark Meyer

IMMEDIATE PAST PRESIDENT Christopher S. Morin

HFW London, United Kingdom

Murray, Morin & Herman, PA Tampa, FL

Director, Claims Division Jeff Sheets

AIA General Counsel Bob Williams

Applied Underwriters Aviation Los Angeles, CA

Victor Rane PLC Pittsburgh, PA

DIRECTOR-ELECT, CLAIMS DIVISION Stephanie Short

Executive Director Mary Gratzer

Great American Insurance Company Bellingham, WA

Aviation Insurance Association Lexington, KY

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Aviation insurance glossary

Glossary of Common Aviation and Insurance Acronyms AIA — Aviation Insurance Association

GHSP — Ground Handling Service Providers

AOPA — Aircraft Owners and Pilots Association

HUD — Heads Up Display

ASAP — Aviation Safety Action Program (FAA)

IATA — International Air Transport Association

ASIAS — Aviation Safety Information Analysis and Sharing system (FAA)

IBAC — International Business Aviation Council

ASRS — Aviation Safety Reporting System (FAA)

ICAO — International Civil Aviation Organization

CASA — Civil Aviation Safety Authority (Australia)

IFR — Instrument Flight Rules IMC — Instrument Meteorological Conditions

CAAC — Civil Aviation Administration of China

IS-BAO — International Standard for Business Aircraft Operations

COPA — Cirrus Owners and Pilots Association

IS-BAH — International Standard for Business Aircraft Handling

DPE — Designated Pilot Examiner

MRO — Maintenance Repair Organization

EAA — Experimental Aircraft Association EASA — European Union Aviation Safety Agency

NBAA — National Business Aviation Association

E6B — A type of manual or electronic flight computer

NTSB — National Transportation Safety Board (U.S.)

ESG — Environmental, Social, and Governance

P&C — Property and Casualty SMS — Safety Management System

EVTOL — Electric Vertical Takeoff and Landing Vehicle

UAM — Urban Air Mobility

FAA — Federal Aviation Administration (U.S.)

UAV — Unmanned Aerial Vehicle (also known as a drone)

FBO — Fixed base operator (service station for aircraft and pilots)

VFR — Visual Flight Rules VR — Virtual Reality

FDM/FOQA — Flight Data Monitoring / Flight Operations Quality Assurance

WAI — Women in Aviation International

GA — General Aviation

This is an abridged list of aviation insurance terms that appear in current and previous editions of the AIA’s The Binder.

GAMA — General Aviation Manufacturers Association

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