Commentary on provisions of the Act Liabilities indemnities and insurance Section 35: Power of Secretary of State to indemnify
This section gives the Secretary of State a power to indemnify in respect of injury or damage that results from spaceflight activities that are carried out by a licensed operator.
	This power is subject to the conditions in subsection (1).
	Subsection (2) provides that the Secretary of State may indemnify a licensee where damages are in excess of a liability amount or an insured amount. Subsections (a) and (b) set out the meaning of these terms.
	Subsection (3) provides that the Secretary of State must indemnify a claimant where injury or damage is caused which is above the amount of a licensee’s liability where that liability has been limited by regulations under section 34(5). The requirement for the Secretary of State to indemnify a claimant only arises in situations where an operator’s liability is capped under Section 34(5).
	Subsection (4) enables the Secretary of State to participate in legal proceedings, or to direct the conduct of a case, where such proceedings may result in a liability in respect of which the power in this section may be exercisable.
	Subsection (5) enables the making of regulations that may limit or constrain the Secretary of State’s duty or discretion to make payments and to make supplemental provisions in relation to participating in legal proceedings as set out in subsection (4).