I want the skeletal mesh to collide
with the world not the collision
capsule
AFAIK that is not possible with character movement. Depending on what you need you can just scale up the capsule collision to encompass the whole helicopter and then use a collision channel that ignores the capsule for stuff like projectiles so that those will collide with the helicopter and ignore the capsule.
Otherwise you could inherit from pawn, use FloatingPawnMovementComponent and let the skeletal mesh be the root (FloatingPawnMovementComponent will only use the root collision for movement). But then ofc you won’t have smooth replication for the movement.