Do You Need Drone Insurance for Part 107?
Part 107 does not require insurance, but clients, venues and some cities do. What the FAA says, where proof of insurance comes up, and the two coverage types.
No federal rule makes a Part 107 pilot carry insurance. The full text of 14 CFR Part 107 does not mention insurance once. But "the FAA does not require it" is not the same as "you will never need it." Clients, property owners and some local permits ask for proof of coverage, and that is where most pilots run into it.
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mentions of insurance in the text of 14 CFR Part 107, checked October 25, 2026
What does the FAA require you to carry?
Your remote pilot certificate and a photo ID, and the drone's registration. Under §107.7 you must present your certificate and identification to the FAA, NTSB, TSA or any federal, state or local law enforcement officer who asks. The post on showing your certificate covers what counts. An insurance policy is not on the federal list.
Where does proof of insurance come up?
Local permits. New York City is the clearest example. When you fly with an NYPD takeoff and landing permit, the NYPD says you must have a copy of your insurance policy available for inspection, along with the permit, your FAA authorization and your registration. The NYC drone permit post covers the whole process.
Clients and property owners. A business hiring you can make insurance a condition of the contract, the same as for any contractor working on its property. That is a contract term, not a regulation, so read what the client actually asks for: the coverage type, the limit, and whether they need to be named on the certificate.
Your own risk. Without coverage, damage to someone else's property or an injury is your own liability.
Requirements differ by city, venue and client. Before a job in a new place, check the local permit rules, starting with the state drone laws guide, and ask the client in writing what proof of insurance they need.
What kinds of drone insurance exist?
Two coverages come up most:
| Coverage | What it pays for |
|---|---|
| Liability | Damage or injury you cause to other people or their property |
| Hull | Damage to or loss of your own drone and equipment |
A client's or a permit office's request protects them, so check which coverage it names and what limit. Hull coverage protects only your own equipment and is your own choice. We do not quote prices, because they depend on the insurer, the limit, the drone and the kind of work, and change over time.
Does insurance replace any FAA requirement?
No. Insurance does not authorize a flight. You still need your remote pilot certificate, a registered drone with Remote ID, airspace authorization where §107.41 applies, and compliance with the operations over people rules. A policy may also exclude flights that break FAA rules, so read the exclusions.
What this means for the exam
Insurance is not on the FAA knowledge test. The documents you must present under §107.7 are, and so is the line between what the FAA requires and what someone else might ask of you. If you are still deciding whether to get certified, is Part 107 worth it covers the costs and the work it opens up.
The FAA asks for your certificate, not your policy. Your clients may ask for both.
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