When you buy an annual policy, you get financial protection against the many risks that can arise when flying. Insurance policies can cover physical damage to the aircraft, can cover both medical and legal liability.
An insurance policy can cover damage if the exterior of your aircraft is damaged or destroyed, it can cover engine failure, it can cover any property damage.
Pilots may have special discounts when purchasing insurance. If you are a pilot, you need to have 200 flying hours per year to improve your insurance rate. Because the more experience a pilot has, the less likely it is that the plane will break down or be physically damaged. Some insurance agencies require pilots to undergo annual checks and flight training as a condition of maintaining coverage. To lower your insurance rate you can add your pilot certificates and ratings.