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If the pilot had a prexisting disqualifying condition and he proceeded to fly, then yes, the insurance would deny his claim and he would be open to all sorts of litigation. He misrepresented himself as being capable of flight and further, violated the FARs which specifically state thge pilot must not have any disqualifying medical conditions.

A pilot, whether sport, recreational, private, commercial, or airline transport of whatever rating, would have a serious time justifying flying with a *disqualifying* condition.

But there are very few permanently disqualifying conditions. For instance if a pilot's blood pressure is greater than 155 (Systolic) or greater than 95 (Diastolic), then he is disqualified from flying. With diet, exercise, or medication, the flying priveleges can be restored once the high blood pressure is reduced. (Most blood pressure medications are not disqualifying.)

What medical conditions does the FAA consider disqualifying? The following conditions are listed in the regulations as disqualifying medical conditions; however, in many cases when the condition is adequately controlled, the FAA will issue medical certification contingent on periodic reports.
Angina pectoris
Bipolar disease
Cardiac valve replacement
Coronary heart disease that has been treated or, if untreated, that has been symptomatic or clinically significant
Diabetes mellitus requiring hypoglycemic medications
Disturbance of consciousness without satisfactory explanation of cause
Epilepsy
Heart replacement
Myocardial infarction
Permanent cardiac pacemaker
Personality disorder that is severe enough to have repeatedly manifested itself by overt acts
Psychosis
Substance abuse
Substance dependence
Transient loss of control of nervous system function(s) without satisfactory explanation of cause.
Here's the website where I found the above conditions: http://www.faa.gov/licenses_certificates/medical_certification/faq/response6/

For recreational on up, it is an FAA certified aviation medical examiner (AME) and the FAA that makes the determination that a disqualifying condition has been brought under control.

For light sport pilot . . .

I have a few questions for our friends north of the border.

1, Can Canadains with a recreation permit fly U.S. registered airplanes ?
2, Can U.S. pilots get a Canadain recreanation permit ?
3, And could a owner of a U.S. regustered aircraft with a Canadian recreanation permit fly his plane ( Cessna 150/152 ) ?

Bernard, I'm reading a copy of COPA's guide to importing aircraft into Canada right now, and part of it talks about Canadians flying N-registered airplanes. The short answer is, no. Canadians need a US pilot's license (PPL or RPL) to fly an American registered airplane.

It's pretty much the same way in Canada. Although Transport Canada will cut you a little bit of slack in that regards. Transport Canada's CARs 202.42 and 202.43 regulate the period of time that a foreign aircraft can be operated in Canada. This is limited to 90 days in any 12-month period unless the owner is not a Canadian citizen and is a permanent resident of the state of registry or a foreign company. That means that even foreign citizens who are living in Canada as permanent residents must import the aircraft and have it Canadian registered.

Your question #2, about a US Rec license in Canada - I don't know. Maybe some of the other Cdn pilots know..

Well it was an good idea, but i guess it won't work.

Thanks for the information.