Understanding the legal and insurance risks when using drones on your land

Tim Coulson from rural insurer Lycetts explains the risks and rewards of drone usage in modern land management.

Drones are now firmly embedded in modern land management as a vital piece of estate equipment.

Across Scotland, farmers and estate owners are increasingly using drone technology to inspect roofs and gutters after storms, check boundary fences, monitor crops or forestry, assess drainage issues and track livestock. For those who have diversified into holiday lets, weddings and events, drones can even help elevate marketing literature by providing aerial views of the size and scale of the venue that cannot be captured in a still image.

Used effectively, they can save time, reduce risk and improve decision-making. Used without proper planning, however, drones can expose landowners to legal, regulatory and insurance problems.

Airspace rules still apply – even over your own land
One of the most common misconceptions about land ownership is that you also ‘own’ the space above it. This is not the case. The reality is that it belongs to UK airspace so anyone flying a drone in Scotland is therefore subject to the same aviation rules as a pilot.

The rules set by the Civil Aviation Authority apply whether the drone is flown for just a few minutes to check a roof or for more detailed surveying work across an entire estate – and height limits must be closely adhered to. The legal flight limit is 120 metres but on uneven ground or hillsides, a simple drone inspection can easily stray into a complex, non-compliant flight.

Drones, cameras and data protection duties
Privacy and data protection is another area where legal drone use is often misunderstood because drones do not just fly; they record. Therefore if identifiable, individuals are captured on camera without their consent – whether it’s staff working or guests celebrating. This is classed as personal data being processed.

The Information Commissioner’s Office treats drones as a form of video surveillance which means data protection law applies. Landowners must therefore be able to providence evidence of a valid purpose for the recording and a way of handling complaints if someone objects to being filmed. This is particularly relevant where drones are used for creating marketing footage which can be shared widely and freely on social media.

Wildlife disturbance and reputational risk
Wildlife protection is a particularly sensitive issue for Scottish land managers and one that will remain for the foreseeable future as preserving environmental integrity remains a priority. NatureScot and other conservation bodies have highlighted the negative impact that drones can have on disturbing wildlife, particularly during breeding or nesting seasons. Landowners could face prosecution under the Wildlife and Countryside Act 1981, especially where protected or endangered species are involved.

When drone use becomes a business activity
A key question is when does drone use becomes a business, rather than a leisure activity? From inspecting buildings, surveying crops and monitoring forestry or using drones as part of security, such operations all point towards business use.

Once drones are being used in connection with running a business, expectations around governance and insurance must meet UK aviation insurance standards. Failing to align insurance policies with the reality of how drones are used can become a costly mistake.

Liability on working land
Under the Occupiers’ Liability (Scotland) Act 1960, landowners have a duty of care to people on their farm or estate. In the event of an accident, insurers and courts will expect to see evidence of prudent planning and that necessary precautions have been taken.

Farmers and estate managers should not assume that their existing farm or estate policy automatically covers drone use. It’s a common but costly mistake to make.

From a liability perspective, the risks can be far-reaching when drones are flown in close proximity to staff, contractors, tenants, guests and members of the public.

So, when it comes to insurance considerations, liability limits need to cover public access land, tenant properties, estate events through to contractor activity. There may also be professional indemnity considerations if drone surveys or imagery are being used for planning or maintenance decisions and projects.

Even when third-party drone operators are appointed, evidence of their competence and compliant insurance should be checked in the same way as outsourcing to any other specialist contractor.

Flight-ready
Drones can make Scottish farms and estates safer, more efficient and better informed. But the benefits only hold if the risks are properly understood and managed. The most effective way to do this is with common sense – and insurance cover that accurately reflects how drones are used.

An expert broker can guide landowners about the cover needed to minimise their exposure to public injury or property damage claims and mitigate their reputational risk caused by drone misuse or mismanagement.

Thorough planning and protection before take-off can prevent a routine flight from becoming a legal or insurance issue that lingers long after the drone has landed.

IMPORTANT NOTE: This information sheet has been prepared for Scottish Land & Estates by Lycetts and reflects information reviewed by Lycetts at the time of its publication.
Accordingly, account must always be taken of any relevant changes in law, policy or other circumstances since that time. It is for general information only and must never be relied upon as any substitute for appropriate professional advice, which should always be taken in any situation in which financial or other interests may be at stake.
No liability can be accepted by Scottish Land & Estates or Lycetts or their respective employees for any misstatement in it or omission from it.