There, a broker is appointed for the project, and then shops it around to Lloyd’s members, who come together in one or more “syndicates” to insure it. Each member of a syndicate takes on a piece of the liability, as much as the individual insurer can afford to lose. After all the financial exposure has been divvied up, the satellite qualifies for a bank loan, the bank knows that it will still be paid back if the satellite goes down in flames, and the insurers at Lloyd’s get a few million dollars in premiums.
