Drone regulations in Canada became so strict on March 16 that flying legally in almost any urban area is essentially impossible except at sites or events sanctioned by the Model Aeronautics Association of Canada. The regulations only apply to hobby drones and commercial ones are still allowed to operate wherever they have a license.
Transportation Canada and Transportation Minister Marc Garneau decreed all commercial drones weighing more than 250 grams would get fined a maximum of $3,000 for breaking the restrictive guidelines because of increased incidents involving close calls at Toronto’s Billy Bishop Airport.
Fines can get issued if operators are caught flying above 90 metres, 500 metres away from the operator, at night, within nine kilometres of where planes land, or even within 75 metres of buildings, vessels, vehicles or animals.
Over at Erb & Erb Insurance Brokers, which sells drone policies, marketing manager Albert Schmidt said he’s seen an increased interest in coverage but not more actual purchases.
“How many people are going to want to go through all those rigours, and then still want to get insurance?” Schmidt said.
Learn more about UAV insurance here.
Schmidt also said he expects more regulatory changes to come from Transportation Canada - and hobbyists will likely feel frustration for some time.
“I think Transport Canada is trying to respond to some instances where airplanes have been impacted by the flight of UAVs and I understand that,” he said. “They’re trying to balance that with being innovative and pumping the economy along with using drones. But I think these restrictions are going to have a negative impact on that.
Want the latest insurance industry news first? Sign up for our completely free newsletter service now.
“It’s up to brokers to stay abreast of what the government is doing and how insurance companies respond. It’s key to include the industry itself, in this case the drone industry, how they see things changing and how they could be better.”
South of the border, where regulation is considerably more flexible, the commercial drone industry is booming in photography, real estate, construction, agriculture, emergency management and insurance.
In Canada, only commercially operated drones are insurable and hobbyists seeking insurance need to join the Model Aeronautics Association of Canada which buys its own commercial coverage.
A group of drone operators in Canada, called flitelab, have suggested a tiered licensing system with flying privileges being awarded based on the level of training.
The licenses would range from Unrestricted (a learner’s permit) with tight restrictions, to Class C where operators could fly far, wide and even beyond the line of sight after the operator passed a Transportation Canada test.
Insurers are fond of the type of testing and licensing schemes flitelab has suggested, Schmidt pointed out, adding that future Transportation Canada rules could resemble what the organization has proposed.
Related stories:
Drone insurance’s aviation manifestation
From the road to the air, the evolving use of telematics
