R44 Cross Hire Rates

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Badgeros
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R44 Cross Hire Rates

Postby Badgeros » Thu Sep 13 2018, 08:14

Hi All,

I am hoping some of you more experienced operators and pilots may be able to give me some guidance. I have a R44 and would like to offer on a cross hire basis to a an operator for charter flights in my area. Is there an industry standard or range I should be looking at for an hourly amount. I was told $430-480 dry per/h is a reasonable range. Any other call-outs I should be aware of?

Would appreciate your thoughts.

BL
Mick White
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Re: R44 Cross Hire Rates

Postby Mick White » Thu Sep 13 2018, 23:09

Hi,
We are looking for an R44 to cross hire, you wouldn't happen to be in the Sydney Southern Highlands by any chance ?
Niko
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Re: R44 Cross Hire Rates

Postby Niko » Fri Sep 14 2018, 00:33

Badgeros wrote:Hi All,

I am hoping some of you more experienced operators and pilots may be able to give me some guidance. I have a R44 and would like to offer on a cross hire basis to a an operator for charter flights in my area. Is there an industry standard or range I should be looking at for an hourly amount. I was told $430-480 dry per/h is a reasonable range. Any other call-outs I should be aware of?

Would appreciate your thoughts.

BL


What you have been told is correct. There are some companies cross hiring for less than that ($400/ Collective Hr) but that is bellow the market rate which is around $450 depending on where you are and the demand
Biggles
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Re: R44 Cross Hire Rates

Postby Biggles » Fri Sep 14 2018, 01:25

Out of interest, how do these arrangements normally handle the insurance and maintenance issues and costs?

Hirer to pay excess if they are at fault?
50/50 split of costs if no fault?
Hirer pays total premium if it's a full time hire?
Hourly rate includes insurance if it's casual hire?

What's the general arrangements in place

cheers
B
Niko
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Re: R44 Cross Hire Rates

Postby Niko » Fri Sep 14 2018, 03:20

Biggles wrote:Out of interest, how do these arrangements normally handle the insurance and maintenance issues and costs?

Hirer to pay excess if they are at fault?
50/50 split of costs if no fault?
Hirer pays total premium if it's a full time hire?
Hourly rate includes insurance if it's casual hire?

What's the general arrangements in place

cheers
B


It all varies. Usually you take care of maintenance costs. Unless it’s due to negligence eg. The hirer backing the helicopter into a post and damaging, say one of the tailrotor blades

At $450.00 insurance should be covered by the owner. Especially if you imagine a case of the renewal coming up and a month later the owner wants his machine back - not cool!

If the hirer constantly uses the helicopter and it’s coming close to a rebuild, owners often give the machines out at a cheaper rate but ask the hirers to make it their primary machine. This is so that the hours get flown off it

It all varies and it’s up to you what you want out of the deal. There are too many variables to give you a straight answer
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Twistgrip
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Re: R44 Cross Hire Rates

Postby Twistgrip » Fri Sep 14 2018, 12:52

Regardless, always make sure the persons / company you X Hire your machine to agrees in your X hire agreement contract that they will pay the excess on the hull sum insured and have them noted on your insurance policy. You can also stipulate minimum pilot hours total time and on type who is eligible to fly your machine.

Also if you want to use your machine (and it is yours at the end of the day!) make it clear in your agreement your terms and conditions of how you go about getting your machine back for the weekend and at short notice.

Many variables yes but A few fundamentals to be clear on upfront.
"You can watch things happen, you can make things happen or you can wonder what happened"
CCAco
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Re: R44 Cross Hire Rates

Postby CCAco » Sat Sep 15 2018, 08:12

$430/hr cross hire of a 44 is pretty cheap

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