Meet our experts: Jörg Kerschberger // Senior Underwriter Aviation

Jörg, you have been working in aviation insurance for many years. How did you originally get into this exciting field?

I started out in the traditional way with an apprenticeship as an insurance broker. After completing my apprenticeship and a degree in Business Administration, I joined the former German subsidiary of British Airways in Munich as a risk manager. My main focus there was claims processing. I was immediately enthusiastic about working in this environment. The office was located directly adjacent to the airport apron, which made a lasting impression on me: that aviation feeling is still something very special to me. This job also brought me into contact with Lufthansa, Albatros, and Delvag. Shortly thereafter, I ended up at Albatros in Cologne as a key account manager. I have been an underwriter at Delvag since 2008, and I am still just as enthusiastic about it.

What still excites you about your work as a senior underwriter?

Definitely my affinity for aviation. As underwriter , I deal with cases from this industry every day. That makes it exciting and varied for me.

Among other things, you look after clients from general and business aviation. What are the biggest challenges you currently face in this area?

I have to make a clear distinction between business and general aviation. The business sector is more complex overall. Customers usually have a small fleet of jets. This is generally more complicated than insuring a single risk. For our business aviation clients, we often rely on reinsurance. The challenge then lies in finding several reinsurance partners for the risks. Since our partners have different focuses, it is often not so easy to identify the right partners. This challenge does not really exist in the general aviation sector when insuring a single risk. In addition to the different response times, this is a significant difference between business and general aviation. In the business sector, we usually have to respond to inquiries much more quickly. That is in the nature of things. For example, one of our clients, for instance, operates air ambulance jets and frequently needs to repatriate patients from abroad, often from crisis regions, back to Germany on short notice. It can happen that we receive a call in the evening with a request to insure a flight the next morning. We then have to coordinate with the reinsurers at short notice and issue all the relevant certificates.

What about trends in the various sectors?

In general aviation, there is a trend toward many customers no longer using their aircraft solely for sport or leisure, but also viewing them as an investment. Well-maintained aircraft and certain types often retain their value very well. Another trend that I personally view very critically is that many young pilots quickly switch to more complex aircraft types after obtaining their licenses, which actually require a lot of experience. As insurers, we have to be responsible with our offerings and carefully consider what we can represent. 

Delvag is known for its customized solutions. What does that mean in concrete terms in your daily work ?

Our goal is not to rigidly follow a certain standard process, but to respond to each customer individually and find tailor-made solutions. This is what sets us apart from many of our competitors. Of course, we can't offer a “special policy ” or tailored solution for every glider, as we ultimately have to operate economically. However, we always try to find the best individual solution for our customers.

There is also a particular focus on working with brokers and direct customers. How does the approach differ for these target groups?

In addition to our direct customers from Lufthansa or business aviation, we generally prefer customers who come to us through a broker. This may initially seem unusual, given that we are required to pay a commission to brokers. However, over the last few years, we have found that we have to spend considerably more time looking after direct customers. A good broker who mediates between us and the customer takes care of a lot: they can focus on requirements, reduce the relevant data for us, and ultimately make our work easier. With direct customers from business aviation, however, our direct proximity to the customer is essential, which is why we prefer to maintain direct contact in these cases.

International route planning, politically sensitive areas, and individual coverage concepts sound like they require a lot of coordination. How do you ensure that your customers are optimally covered at all times?

Many of the components described are already enshrined in law and regulated. The aviation industry as such is heavily regulated internationally. This means that we don't have to worry about liability coverage, for example, because that is set by law. In addition, there is a large collection of clauses that apply internationally. Crisis areas, for example, are defined within the framework of a specific clause that is reviewed and updated regularly. We then have to look at them like a toolbox and see what is relevant for us. We then select the “tools” we need for our customers. However, the basic framework is already in place.

In your opinion, what are the most important skills an underwriter in the aviation sector needs to have?

I think that, in addition to technical skills, passion, curiosity, and an affinity for aviation are essential. You have to be eager to learn, continue your education, and always think critically and question things. This requires intrinsic motivation, which can only be achieved through genuine enthusiasm. You also need to be empathetic and a strong communicator. We deal with a wide variety of interest groups. Human interaction and interpersonal skills are important. If you are very introverted, that could be problematic. To be good at this job, you need additionally a strong network. That requires openness and strong communication skills.

Finally, is there any advice or motto that has guided you in your career?

Absolutely! “Only underwrite risks that you are 100% convinced of.” That has helped me a lot. We do have underwriting guidelines that tell us what is allowed. However, these guidelines do not tell us what we should do, only what we are allowed or not allowed to do. At the end of the day, we need to make our own individual risk assessments. I always ask myself the question: “If I underwrite this risk today and there is a major loss tomorrow, would I still stand behind the underwriting of the risk?” If I can answer “yes” to this question, then my decision is made.

Thank you very much for the interview!

About Jörg Kerschberger
After completing his training as an insurance broker (IHK) at Deutscher Herold, Jörg Kerschberger began his professional career as an insurance consultant at Deutsche BA. At the same time, he completed a part-time degree in business administration at AKAD, graduating with a degree in business administration (FH). He then moved to Lufthansa subsidiary Albatros, where he worked as a key account manager for the Lufthansa Aviation Insurance Group. In 2008, he took the next step in his career by moving to Delvag, where he has been working as an underwriter ever since. 

From Nicholas Gorny
Corporate Communications Delvag
kommunikation@delvag.de