Liability for Environmental Damage in Outer Space and Its Insurance

In the ongoing discussion on space sustainability, an important aspect concerns the regime of liability for damages caused to the space environment. Apart from the general regulations that can be found in the canon of international space law, specific provisions for environmental protection are scarce. Despite many efforts, it has not yet been possible to create international regulations of a universal and binding nature that would adequately protect the outer space environment. The process of creating such regulations also seems to be ineffective due to the dynamic development of the commercial space sector and, consequently, the growing amount of space debris, which poses a real threat not only in space but also on Earth. In response to this challenge, many countries are referring environmental issues to the national liability regime related to indigenous space activities. Internationally recognized guidelines and standards that minimize the risk of damage are helpful in this regard, but their application may be questionable due to their heterogeneous nature. This implies considerable legal uncertainty, not only for the interests of the state but especially for private entities that have to meet the relevant requirements. The aim of the authors is to indicate the existing liability regime for environmental damage in space based on both international law and national space legislation. Environmental law has received particular attention in this analysis. Furthermore, the authors present legislative gaps that need to be filled in order to meet current challenges regarding sustainable space development. In addition to indicating the elements of the space environment, the authors seek to identify the spatial aspect of outer space. Finally, the authors propose space insurance as an incentive tool for protecting the space environment.