Abstract: This article is a general introduction to the newly-developed international space insurance industry, It examines how the underwriting originates and grows, It also examines what space insurable risks are and what problems this industry is now seriously facing. This article holds that the space insurance is playing a more fundamental role in the activities of peacefur explorations and uses of outer space, for it provides a reliable financial guanrantee for space enterpises. However, the problems of space insurance risk management differ from that of ordinary insurance risk management and require a good deal knowledge of space techology and thorough risk analysis to tackle them. It also depends on improvement of reliability of spacecraft. In recent years, severar major space losses have frustrated the underwriting. The present capability to insure is temporarily lower before, But there are reasons to believe that the space insurance market will recover in the coming years if proper measures are taken.