Innovations for Insurers in Space Traffic Management and Weather Forecasting

Innovations for Insurers in Space Traffic Management and Weather Forecasting

Space activities are expanding. The number and types of actors who are involved with outer space is growing. This expansion has significant technological, environmental, and financial implications for the industry. After the research and development of a satellite itself and the provision of launch services, insurance is the third greatest expense to put a satellite into orbit. Though 95% of insured satellites in the last few years have been in geostationary orbit, the greater use of other Earth orbits is leading to an increase in demand for insurance in these orbits.

There are a number of innovative actions that space insurers can take to both grow their business and ensure the sustainable development of the space industry. Insurers can purchase space traffic management services (for example, from ComSpOC) as a centralized point of contact for their insureds. With technical expertise, they can advise insureds regarding recommended debris avoidance maneuvers to mitigate risk. They can provide consultation on design and incentives for greater tracking and maneuvering capabilities to be installed on insured satellites. Insurers can also provide launch weather and space weather services to mitigate the risk of a claim.

In this paper, I will discuss these options for space insurers. In doing so, I will analyze aspects of liability for space objects from a legal perspective, both under the international space law regime and in the United States in particular. The ultimate goal of the paper is to provide recommendations that can be implemented moving forward.