Overview

This bill amends the Space Industry Act 2018, requiring licenses for spaceflight activities to clearly state the operator's maximum liability in case of incidents. This ensures greater clarity and accountability within the UK space industry.

Description

The Space Industry (Indemnities) Bill makes two key changes to the 2018 Act:

• Mandatory Indemnity Limits: It changes the wording in Section 12 of the 2018 Act, making it mandatory for spaceflight operator licenses to specify the licensee’s maximum financial responsibility (indemnity limit) for any damages or losses caused by their spaceflight activities. Previously, this was optional ("may" changed to "must").
• Clarification of Indemnity Obligations: Section 36 of the 2018 Act, concerning the operator's obligation to indemnify the government, is amended to improve clarity, specifying the exact amount of the indemnity ("any" changed to "the"). This ensures a more precise definition of the financial responsibility placed upon operators.

The bill also addresses the geographical extent of the amendments, covering England, Wales, Scotland, Northern Ireland, and allowing potential extension to Crown Dependencies and Overseas Territories. It will come into effect two months after it is passed.

Government Spending

The bill is not expected to significantly affect UK government spending. The changes aim to clarify existing liabilities and responsibilities, rather than introduce new financial burdens on the government.

Groups Affected

• Spaceflight Operators: They are directly affected, as they must now explicitly state their indemnity limits in their licenses, potentially impacting insurance premiums and business strategies.
• Insurers: The bill will affect insurers providing coverage to spaceflight operators, as they need to account for the new mandatory indemnity limits in their risk assessments and pricing.
• Government: The government's liability in case of spaceflight accidents is clarified through this legislation.
• Public: The public may benefit from increased clarity on who is responsible in case of spaceflight-related incidents.

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