ARRANGEMENT OF SECTIONS
1 Short title
4 Saving of rules of common law
5 Marine insurance defined
6 Mixed sea and land risks
7 Marine adventure and maritime perils defined
8 Avoidance of wagering or gaming contracts
9 Insurable interest defined
10 When interest must attach
11 Defeasible or contingent interest
12 Partial interest
15 Master's and seamen's wages
16 Advance freight
17 Charges of insurance
18 Quantum of interest
19 Assignment of interest
20 Prohibition of gambling on loss by maritime perils
21 Measure of insurable value
Disclosures and Representations
22 Insurance is uberrimae fidei
23 Disclosure by assured
24 Disclosure by agent effecting insurance
25 Representations pending negotiation of contract
26 When contract is deemed to be concluded
27 Contract must be embodied in policy
28 What policy must specify
29 Signature of insurer
30 Voyage and time
31 Designation of subject matter
32 Valued policy
33 Unvalued policy
34 Floating policy by ship or ships
35 Construction of terms in policy
36 Premium to be arranged
37 Double insurance
38 Nature of warranty
39 When breach of warranty excused
40 Express warranties
41 Warranty of neutrality
42 No implied warranty of nationality
43 Warranty of good safety
44 Warranty of seaworthiness of ship
45 No implied warranty that goods are seaworthy
46 Warranty of legality
47 Implied condition as to commencement of risk
48 Alteration of port of departure
49 Sailing for different destination
50 Change of voyage
52 Several ports of discharge
53 Delay in voyage
54 Excuses for deviation or delay
Assignment of policy
55 When and how policy is assignable
56 Assured who has no interest cannot assign
57 When premium payable
58 Policy effected through broker
59 Effect of receipt on policy
Loss and Abandonment
60 Included and excluded losses
61 Partial and total loss
62 Actual total loss
63 Missing ship
64 Effect of trans-shipment, etc
65 Constructive total loss defined
66 Effect of constructive total loss
67 Notice of abandonment
68 Effect of abandonment
Partial Losses (Including Salvage and General Average and Particular Charges)
69 Particular average loss
70 Salvage charges
71 General average loss
Measure of Indemnify
72 Extent of liability of insurer for loss
73 Total loss
74 Partial loss of ship
75 Partial loss of freight
76 Partial loss of goods, merchandise, etc
77 Apportionment of valuation
78 General average contributions and salvage charges
79 Liabilities to third parties
80 General provisions as to measure of indemnity
81 Particular average warranties
82 Successive losses
83 Suing and labouring clause
Rights of Insurer on Payment
84 Right of subrogation
85 Right of contribution
86 Effect of under-insurance
Return of Premium
87 Enforcement of return
88 Return by agreement
89 Return for failure ot consideration
90 Modification of Act in case of mutual insurance
91 Ratification by assured
92 Implied obligations varied by agreement or usage
93 Reasonable time, etc, a question of fact
94 Slip as evidence
THE MARINE INSURANCE ACT
[Date of Commencement: 20th August, 1973]
Act 1 of 1973
This Act may be cited as the Marine Insurance Act.
In this Act, unless the context otherwise requires-
"action" includes counter-claim and set-off;
"freight" includes the profit derivable by a shipowner from the employment of his ship to carry his own goods or moveables, as well as freight payable by a third party, but does not include passage money;
"moveables" means any moveable tangible property, other than the ship, and includes money, valuable securities, and other documents,
"policy" means a marine policy.
This Act shall apply to contracts of marine insurance:
Provided that it shall not apply to contracts of marine insurance made before the 20th August, 1973, or to marine insurance undertaken by the Government other than insurance that extends beyond the limits of the Island.
The rules of the common law, including the law merchant, save in so far as they are inconsistent with the express provisions of this Act, shall apply to contracts of marine insurance.
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.
(1) A contract of marine insurance may, by its express terms, 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.
(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 moveables are exposed to maritime perils. Such property is in this Act referred to as "insurable property";
(b) the earning or acquisition of any freight, 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.
(3) "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, rovers, thieves, captures, seizures, restraints, and detainments of princes and peoples, jettisons, barratry, and other perils, either of the like kind or which may be designated by the policy.
(1) Every contract of marine insurance by way of wagering or gaming is void.
(2) A contract of marine insurance is deemed to be a wagering or gaming 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; or
(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.
(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.
(1) The assured must be interested in the subject matter insured at the time of the loss though he need not be interested at the time 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.
(1) A defeasible interest is insurable, as also is a contingent 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.
A partial interest of any nature is insurable.
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