European Space Agency: Space For Insurance Technology

This ‘Space for Insurance Technology’ opportunity offers funding to European teams interested in developing services integrating technology solutions to the insurance sector. The European Space Agency (ESA) will provide funding for six-month feasibility studies known as ‘Kick-Starts’, which can lead to larger-scale projects and pilots. Kick-Starts are funded at 75% by ESA, up to a maximum of €75K per contract. Proposed services must use satellite data or space-based technologies.

ESA Space Solutions can provide funding to perform Kick-Start activities to any company (economic operator) residing in ESA Member States, which includes the UK. A letter of authorisation from the UK National Delegation may be required.

Space and insurance

Despite technological advancements, the insurance sector remains under pressure to predict, quantify and address the financial and operational impacts of an ever-changing environment, shaped by weather-related disasters, climate change, cyber-attacks, data breeches and regulatory changes. Prediction instead of mitigation has become an important principle. The sector can harness technological solutions to detect and prevent damage, reducing the need to spend resources on mitigation.

Topics of Relevance

AI trust and risk management: Applications may include tools for risk management, record-keeping, and collecting claim data, (e.g., time stamping and evidence gathering). These would underpin the record keeping capabilities required to meet new demands within the sector by setting up automated logging to monitor system operations, risk occurrence and duration of use.

Customer experience: potential applications include platforms allowing remote and automated claim management. Services might include platforms able to detect certain environmental conditions and thresholds, triggering automatic payments and claims settlements. Other applications include platforms allowing customisation of policies or offers based on customer usage and data tracking. For instance, services could use telemetry devices in automotive insurance, ensuring an accurate record of accidents and better understanding of driving behaviour, unlocking certain benefits or policy conditions.

Prediction instead of mitigation: Internet of Things (IoT) applications are helping the insurance industry move from a ‘repair and replace’ model to ‘predict and prevent’. Smart home sensors and connected vehicles are examples of technology that can alert both users and carriers of impending risk, providing opportunity for loss avoidance and risk mitigation. Potential applications include:

• services with Internet-enabled home appliances and infrastructure-focused sensors, providing additional value and protection against expensive risks such as water leaks, high winds and other climate-related damages
• services detecting potential faults or required replacements in business fleets, reducing costs and potential downtime

Fraud detection: potential applications could include:

• services such as identification of transaction patterns and claims data to detect outliers and anomalies that might indicate fraud, flagging them for investigation. T
• services that support the analysis of circumstances before and after a claims event (e.g., disasters), to inform decision-making on claims and damage assessment. Complemented by IoT, these services can allow the collection of in-situ data.

Value of Space

Proposed services must use one or more space asset. Some examples of the use of space assets are provided below.

Global Navigation Satellite Systems (GNSS) 
GNSS is instrumental in the development of applications requiring certified geo-referencing, timestamping of transactions metadata or geo-fencing. Automated claims services related to thefts or accidents can rely on GNSS for accurate geolocation, as well as predictive maintenance services using IoT sensor data. The same is applicable in the case of automated claims for asset transportation and goods tracking. Time-stamping services can ensure the integrity and authenticity of digital records and transactions, supporting the accuracy of insurance solutions and providing robust record keeping. For instance, GNSS enables geo- and time- tagged photographs to be used in insurance claims processing for damaged buildings or cars and the timestamping of titles transfer during  ownership changes.

Satellite Earth Observation (SatEO)
SatEO can be used to monitor environmental and geographical conditions of the areas of interest, such as, the detection and proof of disasters (e.g., floods, fire, wind), agricultural conditions (e.g., yield, crop health) or infrastructure (e.g.,built area, unauthorised logging). Moreover, SatEO enables comparison of pre and post events to support claims management, therefore contributing to reduction of fraud.

Satellite imagery can also enable the historical analysis of different events to support identification and understanding of potential trends and ultimately indicate when fraudulent activities might have happened. Supported by GNSS, EO enables services such as parametric insurance where pay outs are triggered when particular thresholds are met (e.g., rainfall, temperature), reducing the risk of fraud from filing a claim.

Satellite Communications (SatCom) 
Automated claim services can use satellite communications for real time information about assets or areas of interest for usage-based insurance policies (e.g., telemetry devices), reducing the time and risk of fraudulent activities. The same is valid in for prediction services, where information can be relayed in real time even when no terrestrial connectivity is present, supporting the robustness of response and reducing insurance costs. For claims after a natural disaster, satellite communications can be an important vehicle to transmit data in a secure and resilient manner, particularly for remote or inaccessible locations.

Briefing and support

A webinar will be held on 23 April 2025 at 11:00 CEST (10am UK time): registration details at the link below.

If you would like help to find a collaboration partner, contact Innovate UK Business Connect’s Space team or our Professional & Financial Services team.