AMA on SFA
Since late October 1991 a new insurance provider has been merchandising to aeromodelers. The AMA welcomes sharing information about modeling liability and has often passed along information about other liability providers (Fireman's Fund, Allstate, Hartford, etc.). However, a number of misunderstandings are circulating in the aeromodeling community. The following are SFA statements (reported) followed by information AMA members may find helpful.
- SFA claim: "In 1990, the insurance and membership programs, which now comprise the Sport Flyers Association, were offered to the AMA."
AMA response: No such proposal was ever received. Al Zlogar and Marsha Howard proposed making an offer only if they could access AMA membership lists and copies of all claims on AMA members. AMA policy has long prohibited distribution of membership lists for commercial schemes. Also, most claims are settled long before court and often include nondisclosure clauses; turning over records would violate settlement terms. Zlogar and Howard also refused to sign a non-competition statement requested by the Academy to review lists.
- SFA claim: "They could have cut the dues by $10.00."
AMA response: The AMA insurance premium expense and contribution to insurance reserves has been approximately $10.00 per member for years (this includes Fire, Theft & Vandalism and Accidental Death & Dismemberment coverage). The 1992 AMA budgeted insurance cost is $7.85 per member. The $10.00 savings touted by SFA is misleading—SFA would effectively have to pay AMA $2.15 per member and provide insurance at no cost to save AMA $10.00.
- SFA claim: "The aggregate AMA policy limit for all members, clubs, and sites is still $1 million."
AMA response: The AMA aggregate limit was $6 million in 1988–1989. The current aggregate limit is $11 million for all members, clubs, and site owners. SFA has doubled its aggregate limit from $1 million to $2 million.
- SFA claims: "Insurance is shaky" / "AMA's financial problems" / "Offered to solve AMA's insurance problems" / "Labeled an enemy by the AMA" / "AMA's intent to restrain trade."
AMA response: SFA has repeatedly painted a negative image of AMA's financial condition and insurance benefits. Suggesting the Academy is about to fail may create marketplace momentum for SFA underwriting; AMA insists SFA stop assaults on AMA's reputation and represent its products appropriately.
- SFA claim: "Instead of funding defensive advertising, help us" / "Put aside fiery rhetoric."
AMA response: SFA advertisements and promotions reference "AMA" more often than "SFA." AMA is responding only because SFA statements have forced this position.
- SFA claim: "Noted author and industry personality joins Sport Flyers Association."
AMA response: A person seen working an SFA booth (Doug Pratt) was being paid by AMA while working for SFA. AMA considers servicing two competing employers inappropriate in such circumstances.
- SFA claim: "Over $70 million in liquid assets, plus an 'A' excellent rating from the A.M. Best Company back the insurance."
AMA response: Three insurance companies back the AMA liability program. Their A.M. Best rating is "A+" ("Superior") and these companies have assets totaling over $2 billion. SFA's underwriter, Gainesco, at 12/31/1990 had, after liabilities and reserves, approximately $33.7 million in assets and an after-tax profit of $6.5 million. (SFA's underwriting experience appears concentrated in automobile and auto garage insurance.)
- SFA claim: "Consider the benefits of jointly lobbying the FCC and other regulatory bodies and the advantages of industry funding offered by SFA's Industry Political Action Committee (IPAC)."
AMA response: The Academy has three FCC law firms working on behalf of aeromodelers and coordinates efforts with the industry and modelers. Historically, multiple voices have hindered dealings with the FCC; AMA coordination has kept the best interests of aeromodelers focused and strong.
- SFA claim: "SFA ... 'can lobby and do things AMA can't.'"
AMA response: AMA is a not-for-profit and is limited by law in how much money it can devote to lobbying. Significant lobbying expenditures could jeopardize tax status. This is not an immediate problem; SFA is not in a position to "solve" it for AMA.
- SFA claim: "SFA ... offers 'better insurance.'"
AMA response: AMA aggregate is $11 million; SFA aggregate is $2 million. AMA site-owner coverage is primary; SFA's appears to provide $500,000 for Clubs, Members, and Non-members per occurrence. AMA members sign a waiver that waives the right to sue AMA; SFA members sign that they indemnify SFA — a big difference. AMA members will not have to reimburse or pay defense costs for the Academy in a suit in which they are involved; SFA members may be required to indemnify SFA.
- SFA claim: "Open door policy" vs "forcing members to join" is a "lousy way."
AMA response: AMA maintains an open-door policy: anyone may be an AMA member. Membership benefits include AD&D insurance, Fire/Theft/Vandalism insurance, and secondary liability insurance. AMA provides national representation and political involvement for the hobby. SFA may insure anyone they want; anyone may choose SFA.
Additional notes: AMA received two letters from SFA (one requesting a meeting, another asking for proprietary information). No actual offer was provided. Analysis of the math presented by SFA shows their advertised dues reductions do not add up when compared to actual AMA insurance and membership costs. AMA believes its insurance program is sound and that AMA provides far more than insurance—representation, competition programs, historical support of the hobby (since 1936), and coverage for control line, free flight, and radio control.
For policy copies or details, contact SFA.
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Hall of Fame Awards 1991
The Academy Hall of Fame Award recognizes people who have made outstanding contributions to the progress and development of model aviation. Any person can be nominated; nomination forms are available from AMA Headquarters. John Patton (former AMA President, AMA #17) chairs the selection committee. In 1991, thirty-eight nominations were received; five winners were selected:
- William "Bill" Bishop
- Howard Bonner
- Joseph W. Foster
- Don Lowe
- John Tatone
Short biographies:
- William Bishop
- Founder of Comet Model Airplane and Supply Company (launched 1929).
- Published the Book of Model Airplanes (1933).
- Contracted with Sherwin Williams to develop glue for balsa and tissue; invented tools and products that grew Comet into a major kit company.
- During WWII helped develop an aircraft recognition program and supplied thousands of models to the armed services.
- Motto: "Plan and set goals for today and tomorrow; be satisfied with your daily life, and love and be loved."
- Howard Bonner
- Organizer, competitor, and innovator; early leader in the Los Angeles Larks Club.
- Developed improved escapement mechanisms and the Bonner Servo and the "Digitime" proportional radio system.
- Demonstrated radio-control techniques internationally (South Africa, Great Britain).
- Closed his business when health declined; remembered as a radio-control pioneer.
- Joseph W. Foster
- Competitor for more than 40 years; Nationals Champion (1952); Wakefield Cup winner (1953).
- Designer of notable models: "Honey B," "Rivets," "Buck."
- Renowned for generosity in sharing knowledge and techniques.
- Despite retirement after heart surgery in 1982, still builds, competes, and wins.
- Donald T. Lowe
- Current AMA President (as of 1991); modeler since age 15.
- U.S. Air Force RC Champion (1952); twice managed U.S. FAI teams.
- Winner of 100+ contests; designer of the "Phoenix."
- Aviation background includes service in WWII and Korea and work as an aerospace engineer on RPVs.
- Frequently invited to judge and lecture internationally.
- John Tatone
- Manufacturer and contest winner for nearly 50 years.
- Trained jeweler who developed timers ("Tick Off," "DT Tick Off," "Flood Off") and many specialty products.
- Formed Tatone Products in 1956; widely known at trade shows.
Model Aviation Magazine congratulates the 1991 Hall of Fame winners.
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AMA NEWS
I understand there will be an effort to standardize flight schedules to create a national AMA event. This hobby continually offers new technology and skill challenges. Now, if only I can find time to build a couple of models!
The Sound of Music — or — Keep Them Quiet
A report on sound research conducted at R/C World, Florida, prepared by Howard Crispin (chairman, Sound Committee), documented noise reduction experiments. AMA videotaped activities and used a frequency analyzer to identify noise sources (exhaust, prop, etc.). Tests included ground and fly-by measurements. One notable result: a 7 dB drop (compared to ground measurements) using Landing Products APC props on large models, indicating high prop efficiency in the air. An Extra 300 measured an equivalent of 9.2 dB at three meters—an outstanding reading for a big model.
Industry is gradually responding with quieter props; quiet mufflers are still needed. When the Muncie facility is operating, AMA expects to conduct many more controlled, scientific experiments. Areas in need of development:
- Noise research — to protect flying sites and hearing.
- Electromagnetic transmission and control technology — radio security and reliability.
- Jet engine safety — operational guidelines.
- Aircraft structures — safe design for large models.
- Flight simulators — to ease training.
- Flight data transmission — safety and new possibilities (on-board video, etc.).
Other desirable facilities: low-speed wind tunnel for airfoil research and an engine test facility for development and safety tests. AMA welcomes financial contributions for research.
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Executive VP's Report
Dave Brown AMA Executive VP 4560 Layhigh Rd. Hamilton, OH 45013
The first matter this month is a tragic fatal accident at a site used by an AMA club: a youngster on a motorized vehicle was killed when he reportedly ran into a steel cable erected to prevent vehicular traffic. This is the second similar occurrence at an AMA-chartered club site in recent years. Whether the club erected the cable is unclear, but prevention is the priority.
If your club uses a cable across an entrance, pit, or spectator area, PLEASE hang visible banners, flags, or painted boards on the cable. If vandals remove banners, string short painted 2x4s (yellow recommended) on the cable so it is visible. Where possible, replace the cable with a proper gate.
On the Sport Flyers Association (SFA): at first, more insurance options seemed positive. However, SFA's marketing, trade-show pitches, and online postings raised concerns. There were inconsistencies between literature and policy wording. One SFA representative was working for AMA at the time and was telling people AMA was in bad financial shape and that its insurance was "shaky"—claims I consider false.
Key points from a review of the SFA policy (Endorsement #4 effective 2/1/92 and other supplied documents):
- SFA declarations/amendments indicate $2 million aggregate and $1 million personal & advertising injury limit for additional insureds (including site owners) for all operations. However, Clubs, Members, and Non-members are limited to $500,000 per occurrence (applicable separately to bodily injury and property damage).
- Clubs, Members, and Non-members are covered only for operation of model aircraft/boats/cars. Claims against a club for non-model operation (e.g., someone tripping over a tent rope) may not be covered.
- Site owners appear to be insured only on a secondary/excess basis (other insurance must be exhausted first).
- "Named insured" language suggests individuals must be specifically endorsed onto the policy before coverage applies.
- SFA's waiver states: "I indemnify the Sport Flyers Association ... for any personal injury, property damage, or wrongful death which may occur." This goes beyond AMA's waiver (which waives the right to sue AMA) by requiring indemnification and possible reimbursement of costs and judgments.
SFA claims it offered the program to AMA a year and a half ago; AMA's account is different. SFA requested proprietary information and proposed numerous discounted financial products exclusive to AMA members; when AMA requested more details and a non-compete agreement, SFA refused to sign. Their economics are also questionable: SFA implied they could cut dues by $10, but AMA spends about $10 per member on insurance already. Suggesting that surplus insurance reserves be used as a one-year payment is not a sustainable solution.
Bottom line: SFA's policy is not as comprehensive as AMA's. Site owners and clubs should be cautious: SFA limits and exclusions could leave assets exposed. If considering SFA coverage, demand a copy of the policy with your name endorsed on it. If they won't provide it, don't assume coverage.
This column is based on a review of SFA policy #GPP542918-1 (General Agents Insurance Company of America Inc. and MGA Insurance Company Inc.) supplied by SFA to an attorney. Some parts of the policy were not supplied for review.
On a positive note: SFA's travel club plan reportedly provides good airline rates. And a final note to Al Zlogar: AMA's primary insurance plan is underwritten by United National Insurance Company.
Blue-sky advertising for profit vs. non-profit service to aeromodelers since 1936—choose wisely.
Till next month.
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Executive Director's View from HQ
Vince Mankowski AMA Executive Director 1810 Samuel Morse Dr. Reston, VA 22090
AMA on the Map: The 1992 Rand McNally Road Atlas includes the Muncie, IN map, where in red letters it proclaims: "The Academy of Model Aeronautics National Museum and Flying Site." Responses to the Grand Opening (June 13–14) are strong; modelers and industry plan to attend—this will be a major event.
Competition License: Many responses were received on a proposed AMA Competition License. At the time of writing, the Executive Council meeting was still two weeks away; the Competition License issue appears to be dead.
Leader Member classification: AMA mailed Leader Member applications to members holding both AMA and CD category memberships because historically many CDs were automatically listed as Leader Members. Leader Member status is intended for administrative, technical, or scientific contributions and allows targeted polling. Of the 4,000+ packages sent, over 2,000 replied—an excellent response. The intent is to identify Leader Members and the areas where they can help, not any hidden agenda.
Contest waiver: Signing the contest waiver (part of the Contest Sanction Kit) does not affect member-to-member liability insurance. Repeat: it does not affect member-to-member insurance availability.
Leader Club Award Program: Positive comments were received; many clubs are now pursuing the award.
Compliments and complaints: AMA receives many compliments about response to calls and letters. For complaints, provide names and details so AMA can follow up.
Office hours: AMA staff work flex schedules (start between 7:00 and 8:30 a.m.) with core hours typically 9:00–3:00. Staff work full days, often beyond scheduled time and on weekends.
Chartered club certificates: The 1992 charter club insurance policy number was received Wednesday, March 11th. Certificates were being printed and mailed; clubs should have certificates by the end of March.
Lee Renaud Memorial Library: The rare and valuable collection requires tighter security. Researchers must contact the librarian in advance to arrange appointments and identify requested materials.
Videos: AMA is producing a video on sound and a second on "AMA Hard Questions and Answers."
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1 District Report
Don Krafft District 1 Vice President PO Box 1828, Duxbury, MA 02331 (617) 934-6248
Associate Vice Presidents:
- James M. Sweeney, 165 Allen Rd., Billerica, MA 01821
- Don Hyland, 60 Marine St., Beverly, MA 01915
- Alfred Davis, 8 Whitman St., Ipswich, MA 01938
- Richard Sherman, 30 Birch St., Rumford, ME 04276
- Ed Thompson, 27 Seaview Ave., Warwick, RI 02888
- Bob Wallace, 61 Sylvan St., Attleboro, MA 02703
Frequency Coordinator:
- George Wilson, 82 Fairview Way, Marstons Mills, MA 02648
Notes:
- Brigadier General Frederick D. Walker retired after commanding the 439th Military Airlift Wing (May 1, 1986–March 7, 1992). Thanks to General Walker for cooperation allowing modelers use of Westover.
- R/C Gulls Mall Show (Bangor, ME) and Sparks Mall Show (Chicopee) are effective public outreach events. Club meetings: If you want a District 1 officer to attend, contact me.
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2 District Report
Joe Beshar District 2 Vice President 198 Merritt Dr., Oradell, NJ 07649
Associate Vice Presidents include Dave Babcock, Tom Browne, George Buso, Wes DeCou, Walter Geary, Ray Juschkus, and others (see district directory).
Know Your Associate Vice President — Get Involved!
You should know the AVP for your area. Profiles (first five AVPs):
- Dave Babcock (085–089): Mercer County RC Society; giant scale enthusiast; event sanction coordinator for IMAA; active in community service.
- George Buso (105, 108–109, 124–127): 58 years in modeling; pattern and scale competition experience; long record of CD and team management at world events.
- Wes DeCou (070–079): Active in club leadership; adult advisor for a 4H model club; involved with Air Force ROTC model training.
- Walter Geary (080, 082, 083): Modeling since 1943; wide experience across many disciplines; member of Atlantic County Sky Blazers.
- Ray Juschkus (090–116): Active since childhood; competition and photography background; Soaring enthusiast.
IN RECOGNITION: Thank-you and certificates of appreciation to past District 2 Associate VPs: Pete Bianchini, Frank Costello, Frank Dresch, John Grigg, Ken Koeppel, George Myers.
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3 District Report
Bob Brown District 3 Vice President 1255 High St., Bradford, PA 16701 (814) 362-7702
Associate Vice Presidents:
- David H. Ellis, 5266 Bend Rd., Cross Lanes, WV 25313-1209
- Nelson Gould, 1944 S. 41st St., Allentown, PA 18103
- John Hathaway, 102 Woodmere Dr., New Stanton, PA 15672
- Jay Mears, 5200 Winter St., Cleveland, PA 43307
- Lawrence M. Weaver, 15613 Greendale Ave., Maple Heights, OH 44137
- Gil Weiss, 3004 Hallowood Ct., Bensalem, PA 19020
- Mark Wilson, 4913 Mary, Dayton, OH 45449
Frequency Coordinator:
- John Cottle, 1012 Wyoming Ave., Forty Fort, PA 18704 — (717) 287-8970
Topics:
- Club apathy: typically 10–15% of members do the work. The cure is participation.
- Flying sites: clubs should aim for long-term leases or purchases and reserve funds for future acquisition.
- Sound: remains a critical issue; manufacturers have yet to provide adequate muffling devices.
- Muncie Grand Opening: June 13–14 — an important milestone for AMA.
- Events and resources: clubs should use AMA HQ for legal and marketing assistance; many sanctions and events indicate growth.
Contact info updates and reminders: please fly safely and courteously.
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4 District Report
Howard Crispin District 4 Vice President 611 Beechwood Dr., Charlottesville, VA 22901
- Trade show: Mid Atlantic Radio Control (MARC) Show, Maryland State Fair Grounds at Timonium — dates 6–7 June.
- Field dedication: Central Carolina Radio Control Modelers, Inc. — Grand Opening on 31 May; site includes a 50x500 ft Bermuda runway and facilities.
- Flying sites: acquisition and retention remain the greatest challenge. Consult AMA HQ for legal and acquisition guidance. Ensure overflight rights and impact studies where required.
- Scale resources: Paul Matt's Scale Airplane Drawings (two-volume set) available from SunShine House.
- District activity: 64 sanctions passed to HQ as of 1 March 1992 — a strong sign of organized activity growth.
- Upcoming regional events: Mid Atlantic Fan Fly-In (Fentress Naval, Chesapeake, VA) on 25–26 May; IMAA East Coast Regional Fly-In at Fentress on 10–11 October.
Contact: call 804/296-2662 (not home much on weekends).
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8 District Report
Gene Hempel District 8 Vice President 301 N. Yale Dr., Garland, TX 75042
- AMA District 8 Model Aviation Expo Fly-In: Sundance Airpark, Oklahoma City, OK — August 1–2.
- Helicopter News (Northeast Texas R/C Club, Bill Crain): Annual helicopter event drew 56 pilots, 91 helicopters flown in events, and many spectators. Events included pylon and drag racing; prizes included radios, rotor blades, and gyros.
- South Texas water note: heavy rains in the Monaville area (over 51 inches in nine months) have affected local flying.
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District 9 Report
Russ Miller District 9 Vice President 980 N. 3rd Street, Carrington, ND 58421 Days: (701) 652-2739 Evenings: (701) 652-2321
Associate Vice Presidents include Tom Boyd (NE), Nathan Lancaster (CO), Travis McGinnis (CO), Larry Evans (KS), Don Moden (KS), Jim Kimmel (OK), R. L. "Doc" Sturgeon (KS), Chuck Smith (WY), and others.
Frequency Coordinator:
- Steve Magnuson, c/o Radio Service Center, 918 S. Sheridan, Denver, CO 80226
Highlights:
- Colorado: Travis McGinnis assisting as AVP.
- Kansas: WRCC Auction (Wichita) netted $25,000; strong community interest.
- Nebraska: Loup Valley Flyers mid-winter flying and cookout; Platte Valley R/Cers and Sugar Valley Giants re-acquired Mitchell, NE airport (new grass runway).
- North Dakota: Bismarck modelers active despite winter.
- Upcoming events: Muncie Grand Opening and the Nationals in June; District 9 members should attend if possible. District 9 will have a meeting at the Nationals.
Thought for the month: "Patience is something you admire greatly in the driver behind you but not in the one ahead of you."
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PR ROUNDUP
Geoffrey Styles Director of Marketing
Central New York Model Aircraft Association (CNYMAA) Symposium and Model Show:
- The annual midwinter Symposium and Model Show (January 25) at the New York State Fairgrounds horticultural building in Syracuse attracted over 3,500 visitors.
- Over 100 booths, model displays, demonstrations, and seminars covered every segment of model aviation.
- Features included electric RC helicopters, RC cars, a custom dirt track for tractor pulls, dealer booths, swap shop, transmitter checks, and videotape demonstrations.
- Profits benefit the CNYMAA scholarship fund; $1,400 in scholarships were awarded at the evening banquet.
- The event was supported by many local clubs; thanks to all for a successful show.
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Contact and Miscellaneous Notes
- For Hall of Fame nominations and forms, contact AMA Headquarters.
- For Leader Member or library appointments, contact AMA Headquarters and the librarian in advance.
- For chartered club certificates or insurance questions, contact AMA Headquarters.
Model Aviation Magazine salutes the winners, volunteers, and all who support the hobby. Fly safe and enjoy the season.
Transcribed from original scans by AI. Minor OCR errors may remain.
