As I understand it, you & your partner want to insure a Lancair turbine aircraft located in CA.  The only available insurer has determined not to do business in that state.  You propose forming an LLC in NV (presumably making the A/C an asset of that LLC, at least on paper) in order to get the desired coverage from the company.  Presumably the A/C is in CA and you intend to base it there or the insurer would not be balking about doing business in that state.

It's certainly possible the company will ultimately accept your premiums and issue coverage to a newly formed NV entity.  As a retired/reformed lawyer, however, I have concerns about your proposal.  Unless you are truly doing business in NV and have substantial business contacts with that state there's a real risk that plaintiff's counsel will attempt to "pierce the corporate veil" in the event of a mishap in CA or any other state apart from NV.

Piercing the corporate veil involves holding the owners of an LLC (you and your partner) liable for the debts of the company (damages in a mishap).  Generally, piercing the corporate veil can only be done in extreme situations such as when the shareholder commits fraud or when the corporation is deemed the “alter ego” of the shareholder.   The standard for successfully piercing the corporate veil in NV may be stricter than in your home state.  However, it is important to note that if litigation takes place in your home state or in some other state besides NV, conflicts of laws principles may cause the law of a state other than NV to control whether a piercing the corporate veil action would be successful.  In other words, judges often have a lot of discretion as to which state’s laws apply in multi-state cases and often begin with the assumption that the law of the forum applies unless a party can show that another state’s laws have greater contacts or interests in the case.  

In fact, while NV corporations are often promoted as being particularly useful to business owners in CA, CA has been one of the most aggressive states in applying its own corporate laws to businesses incorporated elsewhere but doing business in CA. The more serious the mishap, the greater the scrutiny your "corp." is going to be subject to.

Recommend you consult CA counsel with a background in aviation law before leaping on this idea.

Cheers, Mark (Notre Dame, JD, 1984)