Does Alien Abduction Insurance Actually Exist? A Look Into the World’s Strangest Policy

The concept of insuring oneself against extraterrestrial threats was pioneered by the UFO Abduction Insurance Co., a subsidiary of the St. Lawrence Agency based in Altamonte Springs, Florida. Founded by Mike St. Lawrence in 1987, the company has sold tens of thousands of policies to believers and skeptics alike [1].

According to Guinness World Records, this was the first company to formalize such a policy. For a one-time premium—typically around $19.95—policyholders are theoretically covered for up to $10 million in the event they are taken by aliens.

While the Florida agency is the most famous, it is not the only provider. Reports indicate that a London-based firm has sold more than 30,000 such policies throughout Europe [4]. Even legendary insurance market Lloyd’s of London, known for underwriting complex risks, has historically been linked to niche policies involving supernatural or extraordinary events [3].

If you expect a $10 million lump sum the moment you return from a flying saucer, you haven’t read the fine print. These policies are often structured with “facetious” clauses that make actual collection a lifetime (or multi-lifetime) endeavor.

1. The Payout Structure

Most alien abduction policies do not pay out in a single check. Instead, the UFO Abduction Insurance Co. famously promises to pay the $10 million at a rate of $1 per year for 10 million years [2]. This effectively turns the “multi-million dollar” protection into a novelty item rather than a serious financial safety net.

2. The Burden of Proof

Standard claims for Disability Insurance require medical documentation and employer verification. For alien abduction, the evidence requirements are significantly more “out of this world.” Claimants typically need:

• The signature of an authorized, high-ranking extraterrestrial on the claim form.

• The UFO’s “license plate” or tag number.

• A witness who is not the policyholder.

• Onboard photos or physical evidence (implants, etc.) that can be verified by a scientist who is not a biased “UFOologist” [2].

3. Special Coverage Add-ons

Some versions of these policies go beyond simple kidnapping. There are clauses for “alien pregnancy” (available to both men and women, assuming advanced alien technology), “probing protection,” and even coverage for “identity issues” if you return to Earth and find your social security number or presence no longer recognized [5].

In traditional insurance, specialists spend their careers calculating insurance risk using centuries of data to determine premiums. Mortality tables tell us how likely a 40-year-old is to pass away; traffic data tells us how likely a driver is to crash.

Alien abduction insurance lacks any such actuarial basis. Because there is zero verified data on the frequency of abductions, the chance of the event occurring is mathematically treated as zero by mainstream insurers. This is why you cannot simply how to compare insurance quotes for UFO coverage on standard platforms like GEICO or Progressive. As GEICO notes, they do not offer supernatural quotes “yet.”

Most buyers and sellers treat these policies as novelty items or gifts. The UFO Abduction Insurance Co. has even stated that its policy is intended for people with a “sense of humor.”

However, there have been claims. Mike St. Lawrence has reported actually paying out on at least two claims [2]. Given the payout structure ($1 per year), the “financial burden” on the insurance company is negligible, allowing them to maintain the marketing value of having “satisfied claimants” without going bankrupt.

• Existence: Yes, alien abduction insurance exists as a novelty product, primarily through the St. Lawrence Agency in Florida.
• Cost: Generally a low, one-time fee (around $20-$25).
• Payouts: Promising up to $10 million, though usually paid out at $1 per year over millions of years.
• Proof: Requires nearly impossible-to-obtain evidence, such as alien signatures or UFO registration numbers.
• Purpose: Served mostly as a gag gift or a collector’s item for enthusiasts of the paranormal.

Action Plan for the Curious

1. Do Not Replace Real Life Coverage: Never view these policies as actual protection. Ensure you have standard disability and life insurance first.
2. Verify the Seller: If you are buying a policy as a gift, ensure the company has a history of actually sending the “certificate” (like the UFO Abduction Insurance Co.).
3. Read the Payout Terms: If you’re genuinely worried about the financial impact of an abduction, realize that $1 per year will not pay your mortgage back on Earth.

While the risk to your wallet from extraterrestrials is low, the world of insurance remains a fascinating mirror of human fears and humor. Whether you’re a true believer or just looking for a unique gift, alien abduction insurance stands as the ultimate example of how far the “insurable interest” can be stretched.