Insurance

(1) (a) No common carrier by air subject to the provisions of T.C.A. 42-232, et seq. shall engage in the transportation of passengers or property for compensation, and no certificate shall be issued to a carrier, or shall remain in force, unless and until there shall have been filed with and approved by the Bureau a policy of insurance (or certificate of insurance in lieu thereof), or a surety bond SUPERVISION AND CONTROL OF COMMON CARRIERS BY AIR CHAPTER 1680-1-1 in not less than the amounts hereinafter prescribed, conditioned to pay, within the amount of such policy of insurance (or certificate of insurance in lieu thereof), or surety bond, any final judgment recovered against such carrier for bodily injuries to or the death of any person resulting from the negligent operation, or for loss or damage to property of others; nor shall any common carrier by air subject to the provisions of said Act engage in the transportation of property for compensation, nor shall any certificate be issued to such carrier, nor remain in force, unless and until there shall have been filed with and approved by the Bureau a policy of insurance written on a continuous basis, (or certificate of insurance in lieu thereof) or a surety bond in not less than the amounts hereinafter prescribed, conditioned upon such carrier making compensation to shippers or consignees for all property belonging to shippers or consignees and coming into the possession of such carrier in connection with its transportation service. (b) Endorsements that add previously unlisted aircraft, or aircraft type or classes to coverage or that delete such listed aircraft, or types or classes, from coverage shall be filed with the Bureau not more than 30 days after the effective date of such endorsement, Provided however that aircraft shall not be operated unless liability coverage has attached. (2) The minimum amounts referred to in this rule are hereby prescribed as follows: (a) Liability for bodily injury to or death of aircraft passengers. A limit for any one passenger of at least seventy-five thousand dollars ($75,000), and a limit for each occurrence in any one aircraft of at least an amount equal to the sum produced by multiplying seventy-five thousand dollars ($75,000) by seventy-five percent (75%) of the total number of passenger seats installed in the aircraft. (b) Liability for bodily injury to or death of persons (excluding passengers). A limit of at least seventy-five thousand dollars ($75,000) for any one person in any one occurrence, and a limit of at least three hundred thousand dollars ($300,000) for each occurrence. (c) Liability for loss of or damage to property. A limit of at least one hundred thousand dollars ($100,000) for each occurrence. (d) The minimum limits of liability coverage maintained by an air carrier who restricts his operations in air transportation to the carriage of mail or property, or both, shall be those specified in paragraphs (b) and (c) of this section. (e) Cargo insurance-$3,000.00