When we first wrote about drones a number of years ago, they were the hot new thing. Parents were buying them for their children as well as themselves, and concerns revolved around privacy and interference in commercial airspace. There were incidents of drones flying into buildings and the hope that drones could be useful when adjusting claims, in search and rescue missions, and many other activities beneficial to society. One of our first questions back in 2014 was whether drones were aircraft. The Federal Aviation Administration refers to drones as Unmanned Aircraft Systems, or UAS. A lot has changed. So where are we now?

In 2014, ISO created exclusion forms CG 21 09 06 15, Exclusion Unmanned Aircraft and CG 21 10 06 15, Exclusion Unmanned Aircraft (Coverage A Only) that define drones as "unmanned aircraft" designed to be controlled by a person not in or on the aircraft, and excludes coverage for such craft from the CGL policy. Along with the exclusion,  these limited coverage endorsements were also created: CG 24 50 06 15, Limited Coverage for Designated Unmanned Aircraft and CG 24 51 06 15, Limited Coverage for Designated Unmanned Aircraft (Coverage A Only). These endorsements provide coverage for scheduled drones that are used for a specific project that is also listed on the schedule.

In 2015, ISO developed an inland marine form that can be added to the contractors equipment, machinery and equipment, and miscellaneous articles coverage forms. This form, Limited Coverage for Unmanned Aircraft Property, IH 99 29 allows the insured to schedule the drones onto the policy for specified amounts, as well as blanket coverage. Coverage is for physical damage under specified conditions. The IH 00 61, Unmanned Aircraft Property and Cargo Coverage Form covers damage to drones, essential equipment used with drones, and cargo owned by the insured when carried as part of the operations.