Covers liability for physical damage and bodily harm to third parties both on the ground and in space caused, for example, by satellites colliding or launch failures.
Insurance Encyclopedia
Satellite Third Party Liability Insurance
Covers bodily injury and property damage to third parties as a result of launch and in-orbit activities.
Satellite Transit and Pre-Launch Insurance
Provides cover against physical loss or damage of the satellite during transit from the manufacturer’s facilities to the launch site and the integration of the satellite to the launch vehicle. Typically coverage will terminate at “lift off” or “intentional ignition.” Satellite assembly, integration and testing can also being included in this type of policy.
Satellite’s Entire Service Life or End-of-Life Insurance Cover
A satellite usually has an asset value in the range of US$ 200–400m and a service life of 15 years in orbit. The insurance covers this value, i.e. the cost of acquisition, launch, financing and insurance. The limit of indemnity for an individual satellite, and thus the indemnity payable in the event of loss, decreases over a satellite’s lifetime, in line with its depreciation in value. The insurance, which is referred to as end-of-life cover, commences with a satellite’s launch and terminates at the end of its scheduled service life, or after 15 years at most. What is new, besides the cover period of up to 15 years, is that during the term of insurance no adjustment is made to the conditions of insurance, even if the satellite’s technical condition has changed. New end-of-life cover gives clients planning security with regard to their insurance costs and scope of cover for the satellite’s entire useful life. Most satellites are funded by long-term debt. The availability of insurance cover plays a decisive role in whether a satellite project can be financed and at what cost. (Munich Re). Up to now, standard covers have comprised launch insurance, which commences with a satellite’s launching and has a term of up to one year, followed by in-orbit insurance, which as a rule is renewed annually. Prior to renewal, the satellite’s technical condition is verified and any adjustments to the scope of cover and/or price are made.
Satellite/space insurance
Cover for satellites is related to four phases of the satellite’s lifespan. The erection period is covered under erection all risks, the period from completion of assembly to launch is covered under pre-launch insurance, the launch itself is insured under launch insurance and during its working life it is covered under life insurance. Other insurances available are satellite consequential loss which can be effected during any phase, third party liability and extra expenses from delayed launch.
Satisfactory quality
The Sale of Goods Act 1979 term whereby the seller promises that the goods are of satisfactory quality. This means reaching a standard that a reasonable person would regard as satisfactory, taking into account the price and any description. Aspects of quality include fitness for purpose, freedom from minor defects, appearance and finish, durability and safety. See FITNESS FOR PURPOSE; PRODUCT LIABILITY; UNFAIR CONTRACT TERMS ACT 1977.
Satoshi
One hundred millionth of a bitcoin.
Saturation
Act of a managed care plan that has reached its maximum penetration either in a specific subscriber group or in the commercial market. Also see penetration.
Savings bank life insurance (Life Insurance)
A type of life insurance only allowed in certain states; for example, Massachusetts. This insurance is sold by a savings bank.
Savings plan
Voluntary program offered by an employer that gives workers a system for investing funds for retirement. In some plans the employer matches employees’ contributions. Also called a thrift plan.