103 Marine Insurance

• Author: Ralph Hone
• Pages: #3

[CH.103. 1653CHAPTER 103.

MARINE INSURANCE.

ARRANGEMENT OF SECTIONS.

SECTION.

1. SHORT TITLE.

Marine Insurance.

2. MARINE INSURANCE DEFINED.

3. MIXED SEA AND LAND RISKS.

4. MARINE ADVENTURE AND MARITIME PERILS DEFINED.

Insurable Interest.

5. AVOIDANCE OF WAGERING OR GAMING CONTRACTS.

6. INSURABLE INTEREST DEFINED.

7. WHEN INTEREST MUST ATTACH.

8. DEFEASIBLE OR CONTINGENT INTEREST.

9. PARTIAL INTEREST.

10. RE-INSURANCE.

11. BOTTOMRY.

12. MASTER'S AND SEAMEN'S WAGES.

13. ADVANCE FREIGHT.

14. CHARGES OF INSURANCE.

15. QUANTUM OF INTEREST.

16. ASSIGNMENT OF INTEREST.

Insurable Value.

17. MEASURE OF INSURABLE VALUE.

Disclosure and Representations.

18. INSURANCE IS uberrimae fidei.

19. DISCLOSURE BY ASSURED.

20. DISCLOSURE BY AGENT EFFECTING INSURANCE.

21. REPRESENTATIONS PENDING NEGOTIATION OF CONTRACT.

22. WHEN CONTRACT Is DEEMED TO BE CONCLUDED.

The Policy.

23. CONTRACT MUST BE EMBODIED IN POLICY.

24. WHAT POLICY MUST SPECIFY.

25. SIGNATURE OF INSURER.

26. VOYAGE AND TIME POLICIES.

27. DESIGNATIONS OF SUBJECT-MATTER.

28. VALUED POLICY.

29. UNVALUED POLICY.

30. FLOATING POLICY BY SHIP OR SHIPS.

31. CONSTRUCTION OF TERMS IN POLICY.

32. PREMIUM TO BE ARRANGED.

SECTION.

Double Insurance.

33. DOUBLE INSURANCE.

Warranties, etc.

34. NATURE OF WARRANTY.

35. WHEN BREACH OF WARRANTY EXCUSED.

36. EXPRESS WARRANTIES.

37. WARRANTY OF NEUTRALITY.

38. No IMPLIED WARRANTY OF NATIONALITY.

39. WARRANTY OF GOOD SAFETY.

40. WARRANTY OF SEAWORTHINESS OF SHIP.

41. No IMPLIED WARRANTY THAT GOODS ARE SEAWORTHY.

42. WARRANTY OF LEGALITY.

The Voyage.

43. IMPLIED CONDITION AS TO COMMENCEMENT OF RISK.

44. ALTERATION OF PORT OF DEPARTURE.

45. SAILING FOR DIFFERENT DEsTINATION.

46. CHANGE OF VOYAGE.

47. DEVIATION.

48. SEVERAL PORTS OF DISCHARGE.

49. DELAY IN VOYAGE.

50. EXCUSES FOR DEVIATION OR DELAY.

Assignment of Policy.

51. WHEN AND HOW POLICY IS ASSIGNABLE.

52. ASSURED WHO HAS No INTEREST CANNOT ASSIGN.

The Premium.

53. WHEN PREMIUM PAYABLE.

54. POLICY EFFECTED THROUGH BROKER.

55. EFFECT OF RECEIPT ON POLICY.

Loss and Abandonment.

56. INCLUDED AND EXCLUDED LOSSES.

57. PARTIAL AND TOTAL LOSS.

58. ACTUAL TOTAL LOSS.

59. MISSmING SHIP.

60. EFFECT OF TRANSHIPMENT, ETC.

61. CONSTRUCTIVE TOTAL LOSS DEFINED.

62. EFFECT OF CONSTRUCTIVE TOTAL Loss.

63. NOTICE OF ABANDONMENT.

64. EFFECT OF ABANDONMENT.

Partial Losses (Including Salvage and General Average and Particular Charges).

65. PARTICULAR AVERAGE LOSS.

66. SALVAGE CHARGES.

67. GENERAL AVERAGE Loss.

Measure of Indemnity.

68. EXTENT OF LIABILITY OF INSURER FOR Loss.

69. TOTAL LOss.

70. PARTIAL Loss OF SHIP.

71. PARTIAL LOss OF FREIGHT.

72. PARTIAL Loss OF GOODS, MERCHANDISE, ETC.

(CH.103. 1655

SECTION.

73. APPORTIONMENT OF VALUATION.

74. GENERAL AVERAGE CONTRIBUTIONS AND SALVAGE CHARGES.

75. LIABILITIES To TiIERD PARTIES.

76. GENERAL PROVISIONS AS TO MEASURE OF INDEMNITY.

77. PARTICULAR AVERAGE WARRANTIES.

78. SUCCESSIVE LOSSES.

79. SUING AND LABOURING CLAUSE.

Rights of Insurer on Payment.

80. RIGHiT OF SUBROGATION.

81. RIGHT OF CONTRIBUTION.

82. EFFECT OF UNDER INSURANCE.

Return of Premium.

83. ENFORCEMENT OF RETURN.

84. RETURN By AGREEMENT.

85. RETURN FOR FAILURE OF CONSIDERATION.

Mutual Insurance.

86. MODIFICATION oF ACT IN CASE OF MUTUAL INSURANCE.

Supplemental.

87. RATIFICATION By ASSURED.

88. IMPLIED OBLIGATIONS VARIED BY AGREEMENT OR USAGE.

89. REASONABLE TIME, ETC., A QUESTION OF FACT.

90. SLIP As EVIDENCE.

91. INTERPRETATION.

92. SAVINGS.

SCHEDULE.

FORM OF POLICY.

RULES FOR CONSTRUCTION OF POLICY.

CHAPTER 103.

MARINE INSURANCE.

AN ACT RELATING TO MARINE INSURANCE.

39 of 1908.

[8th June 1908.] 1. This Act may be cited as The Marine Insurance Act.

Marine Insurance.

2. A contract of marine insurance is a contract whereby the insurer undertakes to indemnify the assured, in manner and to the extent thereby agreed, against marine losses, that is to say, the losses incident to marine adventure.

3.-(1) A contract of marine insurance may, by its express termns, or by usage of trade, be extended so as to protect the assured against losses on inland waters or on any -land risk which may be incidental to any sea voyage.

(2) Where a ship in course of building, or the launch of a ship, or any adventure analogous to a marine adventure, is covered by a policy in the form of a marine policy, the provisions of this Act, in so far as applicable, shall apply thereto; but, except as by this section provided, nothing in this Act shall alter or affect any rule of law applicable to any contract of insurance other than a contract of marine insurance as by this Act defined.

4.-(1) Subject to the provisions of this Act, every lawful marine adventure may be the subject of a contract of marine insurance.

(2) In particular there is a marine adventure where(a) any ship, goods or other movables are exposed to maritime perils. Such property is in this Act referred to as 'insurable property';

(b) the earning or acquisition of any freight,

Short title.

Marine insurance defined.

Mixed sea and land risks.

Marine adventure and maritime perils defined.

passage money, commission, profit,,or other pecuniary benefit, or the security for any advances, loan, or disbursements, is endangered by the exposure of insurable property to maritime perils;

(c) any liability to a third party may be incurred by the owner of, or other person interested in or responsible for, insurable property, by reason of maritime perils.

'Maritime perils' means the perils consequent on, or incidental to, the navigation 'of the sea, that is to say, perils of the seas, fire, war perils, pirates, roeers, thieves, captures, seizures, restraints and detainments of princes and peoples, jettisons, barratry and any other perils, either of the like kind or which may be designated by the policy.

Insurable Interest.

Avoidance of wagering or gaming contracts.

Insurable interest defined.

5.-(1) Every contract of marine insurance by way of gaming or wagering is void.

(2) A contract of marine insurance is deemed to be a gaming or wagering contract(a) where the assured has not an insurable interest as defined by this Act, and the contract is entered into with no expectation of acquiring such an interest;

(b) where the policy is made 'interest or no interest,' or 'without further proof of interest than the policy itself,' or 'without benefit of salvage to the insurer,' or subject to any other like term:

Provided that where there is no possibility of salvage, a policy may be effected without benefit of salvage to the insurer.

6.--(1) Subject.to the provisions of this Act, every person has an insurable interest who is interested in a marine adventure.

(2) In particular a person is interested in a marine adventure where he stands in any legal or equitable relation to the adventure or to any insurable property at risk therein, in consequence of which he may benefit by the safety or due arrival of insurable property, or may be prejudiced by its loss, or by damage thereto, or by the detention thereof, or may incur liability in respect thereof.

7.-(1) The assured must be interested in the When interest subject-matter insured at the time of the loss though he must attach.

need not be interested when the insurance is effected:

Provided that where the subject-matter is insured 'lost or not lost,' the assured may recover although he may not have acquired his interest until after the loss, unless at the time of effecting the contract of insurance the assured was aware of the loss, and the insurer was not.

(2) Where the assured has no interest at the time of the loss, he cannot acquire interest by any act or election after he is aware of the loss.

8.-(1) A defeasible interest is insurable, as also is Defeasible or a contingent interest. interest.

(2) In particular, where the buyer of goods has insured them, he has an insurable interest, notwithstanding that he might, at his election, have rejected the goods, or have treated them as at the seller's risk, by reason of the latter's delay in making delivery or otherwise.

9. - A partial interest of any nature is insurable. Partial interest.

10.-(1) The insurer under a contract of marine Re-insurance.

insurance has an insurable interest in his risk, and may re-insure in respect of it.

(2) Unless the policy otherwise provides, the original assured has no right or interest in respect of such re-insurance.

11. The lender of money on bottomry or respon- Bottomry.

dentia has an insurable interest in respect of the loan.

12. The master or any member of the crew of a Master's and ship has an insurable interest in respect of his wages. seamen's wages.

13. In the case of advance freight, the person Advance advancing the freight has an insurable interest, in so far freight.

as such freight is not repayable in case of loss.

Charges of 14. The assured has an insurable interest in the insurance, charges of any insurance which he may effect.

Quantum of 15.-(1) Where subject-matter insured is mortinterest gaged the mortgagor has an insurable interest in the full value thereof, and the mortgagee has an insurable interest in respect of any sum due or to become due under the mortgage.

(2) A mortgagee, consignee, or other person having an interest in the subject-matter insured may insure -on behalf and for the benefit of other persons interested as well as for his own benefit.

(3) The ýowner of insurable property has an insurable interest in respect of the full value thereof, notwithstanding that some third personmay have agreed, or be liable, to indemnify him in case of loss.

Assignment of 16. Where the assured assigns or otherwise parts interest, with his interest in the suibject-matter insured, he does not thereby transfer to the assignee his rights under the contract of insurance, unless there be an express or implied agreement with the assignee to that effect.

But the provisions of this section do not effect a transmission of interest by operation of law.,Insurable Value.

Measure of 17. Subject to any express provision or valuation...