Runway Insurance: What It Is, Why Airports Need It, and How It Works
What is Runway Insurance? Runway insurance is a type of aviation insurance that protects the airport authorities and airlines from financial losses if something goes wrong or terrible on the runway — like aircraft skidding, accidents during landing or takeoff, runway damage, foreign object debris (FOD) incidents, or emergency closures. In simple words: If a runway gets damaged or blocked, the airport can lose crores in a single day. Runway insurance helps cover that loss. It is not for passengers , but for airport owners, operators, and aviation companies . Why is Runway Insurance Important? Airports spend huge money building and maintaining runways. A single international runway could cost anywhere between ₹500 crore to ₹2,100 crore (or more), depending on its length, material, and safety systems. Now imagine this situation: ✈️ A plane skids during landing ⬇️ That part of the runway breaks ⬇️ Flights get delayed ⬇️ Airport shuts down for 5 hours ⬇️ Huge financial loss That is...