In a word, Yes. The aircraft has to be insured and almost every passenger will either have their own insurance or will be covered by their employers insurance. Unless the pilot has insurance through his employer or (if he's a private pilot) has insurance that covers him to fly, he'll be on his own.
Of course this changes if the accident investigation concludes that the crash was due to pilot error/negligence etc.
There will be many experts in this field who will answer you when they see this thread, but that's my understanding.
NEO