Hong Kong Regulations

CIVIL AVIATION (INSURANCE) ORDER - SECT 6

Requirements in respect of policy of insurance

(1) For the purposes of section 5, the policy of insurance must be a policy
that insures the operator in respect of any liability which may be incurred by
him in respect of-

   (a)  third party risks;

   (b)  the death of or bodily injury to any passenger in the aircraft;

   (c)  any destruction or loss of or damage to baggage carried on board the
        aircraft;

   (d)  any destruction or loss of or damage to cargo carried on board the
        aircraft; and

   (e)  any destruction or loss of or damage to mail carried on board the
        aircraft, arising out of or caused by the use of the aircraft in Hong
        Kong and arising out of any one event.

(2) Subject to subsections (3) and (4), the policy of insurance must have a
combined single limit coverage of not less than the applicable amount
specified in the Schedule in respect of the liabilities mentioned in
subsection (1).

(3) The combined single limit coverage required under subsection

(2)-

   (a)  may include liabilities other than those mentioned in subsection (1),
        except for the liability in respect of damage to the hull of the
        aircraft of the operator; and

   (b)  need not cover liability in respect of the death of or bodily injury
        to any person in the employment of the operator which arises out of
        and in the course of that person's employment.

(4) The policy of insurance need not insure the operator in respect of a
liability referred to in subsection (1)(b), (c), (d) or (e) if the aircraft
does not carry passengers, baggage, cargo or mail, as the case may be, but the
combined single limit coverage under such policy shall nevertheless be in an
amount of not less than the applicable amount specified in the Schedule.

(5) The policy of insurance may be in the form of a single policy or a
combination of policies.