The non-instrument rated plt was on a flt to psn the acft for sky diving activities. As he was transiting the albany arpt radar svc area at 5500′, radio and radar ctc were lost. Subsequently, the acft crashed in a steep dive and was demolished by impact. Psnl in the area rprtd an ovc cond and estd the vis was at least 1 mi. Abt 12 mi ese, the 0750 albany wx was in part: 1200′ sct, 6000′ bkn. Vis 2 mi with fog. Low clouds at the rprtg stn had lifted by the time of the acdnt.