Not knowing anything about the insurance industry, I’m wondering if the market for this type of insurance be big enough in order for insurers to be willing to offer it?
Yes, there’s a possible issue here. Insurers already have models for the effects of natural pandemics; pricing insurance on the research would need additional models for the chance of accidental release. It might be possible to subsidise this modelling as a public good, if that were required to enable a market.
Companies like Berkshire Hathaway are in generally happy to do one-off policies for strange and unusual risks, so it seems there wouldn’t be much trouble getting insurance companies interested in serving this market.
Yes, there’s a possible issue here. Insurers already have models for the effects of natural pandemics; pricing insurance on the research would need additional models for the chance of accidental release. It might be possible to subsidise this modelling as a public good, if that were required to enable a market.
Companies like Berkshire Hathaway are in generally happy to do one-off policies for strange and unusual risks, so it seems there wouldn’t be much trouble getting insurance companies interested in serving this market.