Abstract: Rapid settlement is a key factor for the healthy development of policy-based forest insurance in China.The paper introduces the uncertainties of the forest damage and its adverse effects on the insurer and insurant,points out the positive role of rapid,accurate settlement strategy in policy-based forest insurance,analyzes the major principle and means of forest damage monitoring and assessment by using satellite remote sensing and carries out the pilot application in east Inner Mongolia.Finally,the potentials,problems and perspectives of the satellite remote sensing application in the rapid settlement of policy-based forest insurance are summarized.

Key words: policy-based forest insurance, satellite remote sensing, rapid settlement