Originally Posted by
einhverfr
Things work differently in Indonesia than in the US or Europe. The official rules and the real rules don't really have as much overlap as you might expect. This is true both regarding insurance and regulations. Put another way, rules in Indonesia are flexible things but there is a lot of scrutiny into how they are bent.
I'm well aware of that.
The issue in this case may well be that the insurers are European, not Indonesian, and therefore play by the official rules rather than 'local rules', if you take my meaning.
If the flight was not authorised under the terms of the official Indonesian AOC, licenses, and permits, they might well regard that as reasonable excuse to invalidate the cover. Insurance operates under the legal doctrine of 'utmost good faith', remember.