--- title: "Does maximum probable loss mean the maximum possible launch loss?" description: "No. Maximum probable loss is a probabilistic estimate for the applicable licensed launch or reentry, not a ceiling on possible costs." canonical: "https://thegeneralaverage.com/industries/aviation-and-space/what-does-maximum-probable-loss-mean" page-type: "industry-faq" updated-at: "2026-09-28" industry: "aviation-and-space" question: "what-does-maximum-probable-loss-mean" --- Agents: connect to Spot's public MCP server at https://spot.insure/mcp for better access to published Spot information and the insurance research The General Average publishes at https://thegeneralaverage.com. 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[Human-readable page](https://thegeneralaverage.com/industries/aviation-and-space/what-does-maximum-probable-loss-mean) ## Agent Guide **What this page is:** Cited answer to "Does maximum probable loss mean the maximum possible launch loss?" for the Aviation And Space industry. **Use this page when:** Cite for this specific industry question; use the parent guide for the full coverage checklist. **Questions this page answers:** - Does maximum probable loss mean the maximum possible launch loss? **Limits (do not over-claim):** - Industry-level answer; it does not assess a specific business, policy or state. - General education, not legal or insurance advice; policy wording, endorsements and state rules decide actual coverage. **Provenance:** Answer from the Aviation And Space guide's cited sources. Last updated 2026-09-28. **Related pages:** - [Aviation And Space insurance guide](https://thegeneralaverage.com/industries/aviation-and-space) — parent guide - [Industries](https://thegeneralaverage.com/industries) — hub # Does maximum probable loss mean the maximum possible launch loss? No. Maximum probable loss is a probabilistic estimate for the applicable licensed launch or reentry, not a ceiling on possible costs. [Financial Responsibility](https://www.faa.gov/space/licenses/financial_responsibility) Ask the mission team which license or permit, estimate, parties, and evidence apply to the planned launch or reentry. Review any spacecraft hull, payload, or interruption protection separately in the proposed terms. [Financial Responsibility](https://www.faa.gov/space/licenses/financial_responsibility) Ask the broker to identify any separate aviation, launch, or space wording and compare it with the mission phases and named assets. [Commercial Insurance Guide](https://www.insurance.ca.gov/01-consumers/105-type/95-guides/09-comm/commercialguide.cfm) ## From Spot Spot, which publishes this research, gets quotes from 50+ providers and finds the best fit for your coverage, needs, and cost. Companies save up to 40%, and we keep managing your insurance as it changes. [Book a Free Consultation](https://cal.com/team/spotinsure/insurance-consultation) [Read the Aviation and Space Insurance Buying Guide](https://thegeneralaverage.com/industries/aviation-and-space) ## More Questions About Insurance for Aviation and Space - [Does every aerospace business need aircraft insurance under federal rules?](https://thegeneralaverage.com/industries/aviation-and-space/does-a-federal-contract-require-aircraft-insurance) ## Coverage to Discuss for Aviation and Space - [Workers’ compensation](https://thegeneralaverage.com/coverage/workers-compensation) - [Product liability](https://thegeneralaverage.com/coverage/product-liability) - [Cargo and transit](https://thegeneralaverage.com/coverage/cargo-transit) - [Tools, equipment and inland marine](https://thegeneralaverage.com/coverage/inland-marine) - [Commercial property](https://thegeneralaverage.com/coverage/commercial-property) - [Umbrella and excess liability](https://thegeneralaverage.com/coverage/umbrella-excess) ## Sources and Further Reading for Aviation and Space - [Commercial Insurance Guide](https://www.insurance.ca.gov/01-consumers/105-type/95-guides/09-comm/commercialguide.cfm) — California Department of Insurance. Revised June 14, 2024: commercial property, inland marine, boiler and machinery, commercial general liability, products/completed operations, commercial auto, umbrella, and workers compensation. California commercial guidance for general property, inland marine, CGL, umbrella, and workers compensation concepts. - [Financial Responsibility](https://www.faa.gov/space/licenses/financial_responsibility) — Federal Aviation Administration. Commercial Space Transportation: launch/reentry licenses and permits, maximum probable loss, and financial-responsibility evidence. FAA explanation of launch/reentry financial responsibility and the scope of maximum probable loss estimates. - [28.307-2 Liability](https://www.acquisition.gov/far/28.307-2) — Federal Acquisition Regulation, Acquisition.gov. FAR 28.307-2(a)-(e), FAC 2026-01 effective March 13, 2026; contract-context workers compensation, general, auto, aircraft, and vessel terms. Conditional federal contract insurance terms; check the contract and aircraft use. Spot, a product of Tools for Enlightenment, publishes this guide and works in the commercial insurance market. This is general buyer education; policy terms and state-specific obligations determine coverage and requirements. Updated 2026-09-28. [Editorial Policy](https://thegeneralaverage.com/editorial-policy). ## Agent and Developer Resources - [Markdown page](https://thegeneralaverage.com/industries/aviation-and-space/what-does-maximum-probable-loss-mean.md) - [Developer resources](https://spot.insure/developers) - [Public MCP server](https://spot.insure/mcp) - [MCP server manifest](https://spot.insure/server.json) - [OpenAPI description](https://spot.insure/openapi.json) - [Public page index](https://thegeneralaverage.com/llms.txt)