Space: May 17, 2001


Quality problems with satellites and launch boosters threatens to shut down the commercial (and much of the military) space launch industry. The problem is that a steadily-mounting failure rate is using up the available insurance pool, and without insurance many of the 20+ commercial and untold military launches will simply not happen. The space launch insurance industry has paid out over $900 million in each of the last five years, while taking in premiums of just over $1 billion. The available pool of insurance is steadily shrinking as companies lose money and drop out of the market. There was $1.2 billion of insurance written in 1999, but only $1.1 billion in 2000 and only about $1 billion will be written this year. The pool is expected to fall below $900 million by 2002.--Stephen V Cole




Help Keep Us From Drying Up

We need your help! Our subscription base has slowly been dwindling.

Each month we count on your contributions. You can support us in the following ways:

  1. Make sure you spread the word about us. Two ways to do that are to like us on Facebook and follow us on Twitter.
  2. Subscribe to our daily newsletter. We’ll send the news to your email box, and you don’t have to come to the site unless you want to read columns or see photos.
  3. You can contribute to the health of StrategyPage.
Subscribe   Contribute   Close