Component supply and repair company A J Walter Aviation has launched a power-by-the-hour service designed for inclusion in aviation insurance policies.
The company has offered AJW-FIX, a worldwide power-by-the-hour service, since 1990, whereby aircraft operators pay a fixed rate per aircraft operating hour for the guaranteed supply and maintenance of components. The new service, also known as AJW-FIX, will be marketed directly to insurance brokers and AJ Walter says it has attracted "very good interest".
AJW-FIX contributes about $30 million of AJW's $100 million turnover, and the company expects it to grow to more than $70 million in the next three years, with more than half of the revenue generated by the insurance product.
The company will offer two policies. One is for fleets of 11 aircraft or fewer, underwritten by AJW and sold as a bolt-on to existing hull and liability policies, which can be tailored to operators' needs. The second policy is for fleets of more than 11 aircraft and requires market capital provision.
Source: Flight International
