Originally Posted by geosync

Us in claims don't really mind going above TBO, because wear and tear items are no covered by insurance. For instance, if you had a propstrike which requires a IRAN inspection, it is torn down to check the crankshaft, gears, etc. If the shop looks in there and lo and behold there is corrosion and worn cam lobes, that's is not insurable damage, and unrelated to the propstrike, so the owner is on the hook for that. Now, if the owner wants to go ahead and overhaul the engine while it is down for inspection, then fine. We pay for what is necessary to inspect for the propstrike(R&R, labor) so that money can be used towards the overhaul, in fact, that would be wise if near or over TBO, since the typical IRAN cost on an 0-360 is 8-10k.

If insurance covered wear and tear, every owner would end up have a mystery "propstrike" at TBO to get the company to pay for an overhaul, and the whole concept of insurance crumbles to pieces.

In the jet world, there are maintenance service plans to set aside $$ for maintenance and overhaul. In the piston world, it's left up to the owner. Of course no owner sets aside money every flight hour for a "recommended" overhaul.