You don't need to utilize your benefits, until after there is an incident. If it can be proven that you flew your jet or whatever faster the the safety code, then that's when they find out if your breaking policy. In most cases you'll be the deciding factor on whether or not they will pay, you either tell them what you think you were flying and if you think you were flying faster or outside the envelope you tell them what you think is acutal, or you could just lie about it.

Also the AMA are not rulemakers, there is no rule that says you can't fly your jet faster then 200 MPH. The safety code does not say you can't do it, they just don't pay if there is an incident or revoke your AMA card or jet waiver if they feel there is a reason.

This is how all insurance works, no different.