India Planning to Buy First Insurance Policy for Satellite
Published On 28 Nov 2019 By Sakshi Aggarwal
The ISRO (Indian Space Research Organisation) is planning to purchase an insurance policy for a domestically launched satellite, for the first time since it began launching satellites in the year 1975.
As per Times of India report, there are two factors which influence India’s space agency to start buying satellite insurance. First comes the unexpected setback in Project Chandrayaan-2. It costs around Rs. 10 Lakh Bn (USD 139.4 Mn). The second one being ISRO’s Mars Mission being successful. It brought down the prices of reinsurance for Indian space exploration activities.
As per the report, this has initiated talks by the ISRO with insurers about if there is any possibility of insuring space projects in future like Chandrayaan-3.
State-owned insurers such as New India Assurance were the ones tapped to offer insurance covers for such projects with reinsurance from the international market.
ISRO has insured launches done in partnership with other countries, and not the ones conducted on Indian soil. For instance, with Russia and the United States.
For instance, the 1982 launch of INSAT-1A, an India-US JV. It was launched in the year 1982 via a Delta rocket. By September of the year, its altitude control propellant had exhausted, which led to the abandonment of communications satellite. ISRO received a payout of USD 12 Mn after having made a claim.