Lloyd’s has introduced a new multi-million-pound insurance policy called Llift Space for the emerging private spaceflight industry.

The global space market could increase in value from $US300 billion ($438.68 billion) today to $1 trillion ($1.46 trillion) by 2040, driven by new space companies entering the sector, according to a Lloyd’s report published on Wednesday.

The NewSpace sector is characterised by lower cost, easier routes to space that are opening the sector up to private enterprise, wealthy entrepreneurs and innovative start-ups. This is increasing the need for space insurance, Lloyd’s says.

“New aerospace companies and ventures…want access to easily scalable insurance that fits their needs and can be arranged quickly to support technological development and business growth,” Head of Innovation Trevor Maynard said.

Llift Space covers assets from the pre-launch phase, including transit, through to the launch phase and in-orbit operation. It is designed for satellites that weigh less than 300kg.

The policy is modular so customers can choose elements within each phase relevant to their coverage needs. It is backed by a consortium of 18 syndicates, led by Brit and Hiscox MGA, with a $US25 million ($36.56 million) capacity per risk.