Around 20 “technically superior” satellite operators are mistakenly subsidising their “also-ran” counterparts by paying excessive insurance premiums, says UK-based Sciemus, whose new risk-based approach last week secured Inmarsat as its first client, writes Aimée Turner.
Sciemus, which has a joint venture with UK technology research business Qinetiq to commercialise risk-analysis insurance tools, says its SpaceRAT system gives “best-of-breed” operators of geostationary communications satellites the opportunity to make substantial savings on the cost of protecting against in-orbit failure.
Sciemus says Inmarsat could save at least 30% of the cost of insuring its new-generation Inmarsat-4 communications satellites compared with traditional market alternatives by assessing the operator’s proven control over key processes such as satellite procurement, deployment and operation. SpaceRAT helps quantify risks using a database of satellites to produce a risk profile for each critical component.
Sciemus chief executive and co-founder André Finn says: “Until now reliable operators have effectively been subsidising their competitors because it has been so difficult to differentiate between high and low risk within the space sector.”
The deal follows the launch of a $250 million capacity, through which Sciemus’ modelling capability allows Lloyd’s to underwrite Liberty Syndicates to price according to the technical risk of satellite failure.
“We hope to attract around 20 clients over the next three years generating $200-300 million a year in premiums,” says Finn. He says the scheme covers only in-orbit failure and comes into effect a year after the successful launch of a satellite, but expects to have launch insurance in place by the second half of 2006.
Source: Flight International
