Aviation Laws and FARs - Practical Aviation and Aerospace Law (7th Edition) by J. Scott Hamilton

You have rented an aircraft at a flight school and you take it out to practice some takeoffs and landings at a nearby airport. The crosswinds are a bit more than you had anticipated and on one of your touch-and-gos the wind gusts and your right tire runs into the mud on the side of the runway. The tire sinks into the mud and this causes the aircraft to swing violently to the right and flip over. Other than a few scrapes and bruises, you are ok but the aircraft definitely is not. The flight school files a claim with the insurance company and the insurance company investigates the accident and then sends the flight school a check to cover the costs of repair. A couple months later you receive a letter from the flight school's insurance company along with a bill for several thousand dollars to cover the cost of the damages.

a) Is it legal for the insurance company to do this?

b) What is this called?

c) What are three ways, related to insurance that you can use to protect yourself in a scenario such as this?