Hull War vs Hull All Risks
Every commercial aircraft is covered by two distinct insurance products: "hull all risks" (sometimes hull & machinery) covers the broad class of operational losses; "hull war" covers losses specifically arising from war, hostile acts, and related perils that the all-risks policy excludes. The two work together. Understanding how requires looking at what each excludes.
Hull All Risks — What It Covers
Hull all risks covers physical loss of or damage to the insured aircraft while in flight, taxiing, or on the ground — subject to named exclusions. Normal scope includes accidental damage, crash, fire, collision, weather, and similar operational causes. The policy wording typically excludes: war, hostile acts, strike/riot/civil commotion, confiscation by government, nuclear risks, and — importantly — incidents arising out of GPS interference, depending on specific wording.
Hull War — The Complementary Cover
Hull war is purchased separately (often from different underwriters) and explicitly covers the perils that hull all risks excludes: war, hostile acts, terrorism, strikes, civil commotion, government confiscation, hijack, and — depending on wording — cyber events affecting navigation. It is continuously rolling, short-term (often 7-day notice), and can be repriced or geographically restricted quickly.
Lessors and financiers typically require both covers, with specific minimum limits and named-insured arrangements, as condition of leasing or financing.
Where the Two Interact
Disputes arise when a loss plausibly falls under either policy. A classic example: an aircraft detained by a foreign government. Is it confiscation (war exclusion → hull all risks denies, hull war responds)? Is it detention (might fall under a different clause)? The allocation between policies determines which underwriter pays.
The 2022 Russian lessor dispute — foreign lessors unable to repossess approximately 400 aircraft after sanctions — has turned on exactly this distinction. Lessors filed claims across both hull all risks and hull war; underwriters on each side dispute which cover is in primary position. Proceedings are ongoing in London, Dublin, and other jurisdictions.
Key Terms
- ›AVN48B / AVN48C — the standard war, hi-jacking, and other perils exclusion clause attached to hull all risks policies. What is excluded under AVN48 is generally what hull war covers.
- ›LMA5390 — 7-day cancellation / geographic exclusion clause widely used in hull war cover.
- ›Write-back — when a specific risk is excluded elsewhere but written back into cover under negotiated conditions.
Educational reference. Not insurance or legal advice. Policy wordings vary materially; always consult the specific policy and qualified insurance counsel. See Terms of Service.