When Drones Hit The Sky
The market for drones, or unmanned aircraft systems, has ballooned into a 2.5 billion dollar industry, and is growing 15% to 20% annually.1 Engineers have found that drones can play a vital role in their work.
By Giovanny Avendaño, Esq.
Some of the world’s biggest construction and engineering firms, including AECOM, Bechtel, and DPR have experimented with drones on the job site, using aerial imagery for surveying, logistical planning, and monitoring activity.2>
However, before a drone is flown at your next construction project, there are several risks that must be noted. It remains to be seen what drone-related claims will permeate the construction industry. The following occurrences, however, illustrate the risks for which an engineer may need to obtain coverage:
Property Damage:
- On May 2014, a DJI Phanton 2 drone crashed into the balcony of the 30th floor of the Metropolitan Square Building in St. Louis, Missouri.3
- On January 2015, a drone crashed into the White House grounds when a tree or gust of wind caused the drunken operator to lose control.4
Bodily Injury
- On October 2013, a camera-equipped drone reportedly crashed into a New York City sidewalk, narrowly missing a businessman who was heading home from work.5
- On April 2014, a triathlete suffered minor head injuries when the drone filming the triathlon fell from the sky.6
- On December 2014, a reporter covering a drone story at a TGI Fridays in New York City was left bloody after a drone propeller got entangled in her hair and clipped her nose.7
- On May 2015, singer Enrique Iglesias sliced his fingers open when he reached up and grabbed the drone filming his concert.8
Trespass & Breach Of Privacy
- On April 2015, a Chicago couple called the local police department claiming their right to privacy was invaded when a drone went adrift and landed in their backyard.9
- On May 2015, the local police department of Murfreesboro, Tennessee investigated its first drone trespass case when a homeowner called regarding a drone hovering over his home while his children were in the pool.10
Engineers should not assume their commercial liability policies offer coverage for the above type of occurrences or claims. In fact, most polices exclude coverage for bodily injury and property damage arising from the Insured’s use of an aircraft. Underwriters are offering coverage for drone-related claims alleging property damage, bodily injury, trespass, and breach of privacy claims via an endorsement to the professional liability policies issued to the ASCE through Pearl Insurance. A prudent engineer would ensure coverage is obtained before their drones hit the sky.
1Clay Dillow, Get Ready for ‘Drone Nation’, FORTUNE (October 8, 2014), http://fortune.com/2014/10/08/drone-nation- air-droid/.
2Clay Dillow, Drones to Speed Up Construction, FORTUNE (December 29, 2014), http://fortune.com/2014/12/29/drones- to-speed-up-construction/.
3Udi Tirosh, DJI Phantom Drone Crashes into the 30th Floor of the Metropolitan Square Building, DIYPHOTOGRAPHY.NET (May 9, 2014), http://www.diyphotography.net/dji-phantom-drone-crashes-30th-floor-metropolitan-square-building/.
4Michael D. Shear & Michael S. Schmidt, White House Drone Crash Described as a U.S. Worker’s Drunken Lark, THE NEW YORK TIMES (January 27, 2015), http://www.nytimes.com/2015/01/28/us/white-house-drone.html.
5Civilian Drone Crashes in Manhattan, MILITARY.COM (October 30, 2013), http://www.military.com/video/aircraft/ pilotless-aircraft/civilian-drone-crashes-in-manhattan/2785216759001/.
6Rich Trenholm, Drone Falls Out of the Sky and Injures Athlete, CNET MAGAZINE (April 7, 2014), http://www.cnet.com/ news/drone-falls-out-of-the-sky-and-injures-athlete/.
7Caroline Moss, Woman Nearly has her Face Destroyed by a TGI Friday’s Mistletoe Drone, BUSINESS INSIDER (December 8, 2014), http://www.businessinsider.com/tgi-fridays-mistletoe-drone-accident-2014-12.
8Hannah Raissa Maril, Enrique Iglesias Recovering From Hand Surgery After Drone Accident, INTERNATIONAL BUSINESS TIMES (June 3, 2015), http://www.ibtimes.com/enrique-iglesias-recovering-hand-surgery-after-drone- accident-1950073.
9Man Claims Downed Drone That Spooked Neighbors, NBC CHICAGO (April 14, 2015), http://www.nbcchicago.com/news/ local/Man-Claims-Downed-Drone-That-Spooked-Neighbors-299762941.html.
10Mike Osborne, Murf Police Investigate First Case of Drone Criminal Trespass, WMOT.ORG (June 2, 2015), http://wmot.org/ post/murf-police-investigate-first-case-drone-criminal-trespass.
