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In 2016, a SpaceX’s Falcon 9 exploded at Cape Canaveral destroying Israel’s Amos-6 communications satellite. Luckily, like when you get hit by a car while parking, there was insurance behind it that paid for the mess because the incident cost almost 300 million dollars. Because imagine that your latest and most ambitious project explodes and that as a consequence you end up bankrupt. Insurance is that industry that when everything goes well seems like a superfluous expense and that saves you when there is an accident. Applied to space, they move more than 4 billion dollars a year. Well, space insurance is undergoing a historic transformation: China has decided who no longer wants to be a mere customer, she wants to be the owner of the business. China goes from client to insurer. China had been insuring its satellites for years through the state insurer PICC, but part of the real risk was absorbed by the international market via reinsurance. So when ChinaSat-18 failed in 2019, it was foreign insurers that absorbed part of the hit, according to SpaceNews. China paid the premiums and London and Paris, where space reinsurance business is concentratedthey stayed with the business. Everything changed in March 2025: a consortium from Beijing covered 25 private launches for $1.47 billion in its first year, bringing together domestic insurers so that everything, money and control, stays at home, according to Caixin Global. It is the first consortium dedicated exclusively to the Chinese commercial aerospace sector. Why is it important. Because if there is no insurance, there is no investment and without that financing there are no rockets either. A fact: a geostationary satellite costs between 150 and 400 million dollars to manufacture and launch, according to the Satellite Industry Association. If there is a failure, the economic impact is tremendous and could lead to the bankruptcy of the operator, so having an insurance policy is a condition for any investor to dare to put money into a space project. Controlling space insurance is controlling who can take certain risks and how. The Chinese government is clear: according to the IISSShanghai allocated 300 million yuan in subsidies to the commercial aerospace sector in April 2025, and Beijing has announced targeted insurance premium subsidies for space companies. China replicates the move it has already used in semiconductors or batteries: state push to achieve strategic independence. Context. The space insurance market is growing simply because the commercial space sector is also growing, and because insurance is an essential condition for operating in it: Space Liability Convention of 1972 establishes that states are responsible for damages caused by their space objects. Lloyd’s of London has been insuring satellites since 1965 and for decades, this was a closed market dominated in Europe by companies such as Munich Re, Swiss Re or AXA XL. According to Orbital Radarthis market generates between 500 and 600 million in annual premiums and remains concentrated in London, Paris and Bermuda. SpaceX changed everything: more launches, lower unit cost, new risk profiles… and now new Chinese private launchers such as LandSpace, CAS Space, Space Pioneer bring a new transformation: everything stays at home, China cooks it and China eats it. In detail. As with cars, insurance premiums depend on the history of the rocket and here China has a potential gap to slip through: for new rockets with no history, the premiums are very high. Orbital Radar Explained that launch premiums range between 5% and 15% of the insured value depending on the vehicle and orbit. Therein lies the great advantage of the Chinese consortium: it can take risks where other insurers put their “buts.” A revealing fact: of 10,000 active satellites in orbit, only 300 have insurance, according to Space Insider. In fact, SpaceX does not even externally secure its own Starlink. Yes, but. The market that China wants to enter with everything is in trouble: in 2024 it paid more in claims than it earned in premiums, according to Insurance Business Magazineamong other things due to the loss of Intelsat 33e. And it’s going to get worse: space debris is growing faster than the ability to calculate it and here China is largely to blame. Furthermore, in accordance with the regulations OFAC of the US Department of the Treasury.when a Chinese rocket fails, American and European insurers can’t always pay: Western sanctions legally prohibit them from dealing with certain Chinese assets, so the market is fragmented. In Xataka | SpaceX has always been 10 years ahead of the competition. The problem is that in China that law no longer applies. In Xataka | The race to become “China’s SpaceX”: who’s who in its private space launch sector Cover | Ivan Diaz and zhang kaiyv