GSLV F02 and Insat 4C uninsured
By Venkatachari Jagannath | 11 Jul 2006
Chennai: Indian Space Research Organisation's (ISRO) policy of safeguarding its financial interests seems to be "penny wise and pound foolish". For ISRO did not insure its Rs160-crore geo synchronous launch vehicle (GSLV) and the Rs96-crore Insat 4C satellite that went down the sea on July 10, 2006 - in an effort to save few crore of rupees as premium.
ISRO normally insures only its satellites launched through foreign launch vehicles like Ariane. On the other hand, the organisation does not take an insurance cover for its domestic launches.
The total 'straight loss' to ISRO due to the failure of GSLV F02 is Rs256 crore not to mention the huge loss of revenue for the next 10 years. Had ISRO insured the vehicle and the satellite, it could have at least recouped the basic loss. For the insurers too, the hit would not have been much as they would have reinsured the risk abroad.