What rating type will an insurer most likely use for an experimental aircraft liability insurance?

The type of rating that an insurer is most likely to use for experimental aircraft liability insurance is judgment rating. This is because experimental aircraft often carry unique risks that are not easily quantifiable or standardized due to their unconventional design, use, and operational characteristics. As such, underwriters must rely on their professional judgment and experience to assess the specific risk associated with insuring these aircraft.

Judgment rating allows insurers to evaluate individual risks on a case-by-case basis, considering factors such as the aircraft's design innovations, the experience of the pilot, and the intended use of the aircraft. This tailored approach is essential for experimental aircraft since they can vary significantly from conventional aircraft, making it challenging to apply standard rating methods.

In contrast, other rating types may not be as suitable. Schedule rating, for instance, is typically used when there are predetermined factors, usually for more standard, homogenous risks. Merit rating involves adjustments based on the individual policyholder’s loss history but is more applicable in contexts where loss records are established, such as in commercial or personal auto insurance. Class rating applies a uniform rate to an entire class of risks, which is not effective for experimental aircraft due to their unique and varied natures.