ON

MARINE INSURANCE.

DIVISION OF THE SUBJECT.

In treating of Marine Insurance, we shall divide the subject into four parts.

I. In the First we will consider the Nature, Formation, and Subject Matter of the Contract of Marine Insurance itself.

IL In the Second we shall treat of certain Matters, such as Misrepresentation, Concealment, Breach of Express and Implied Warranties, and Illegality of the Risk, that render the Contract either void, or inoperative.

III. In the Third we shall discuss the different kinds of Losses for which the Underwriter is liable, and the Rights and Duties of the Parties to the Contract in case of Loss.

IV. And in the Fourth, the Modes of Procedure by which these Rights and Duties may be enforced.

B

PART I.

OF THE NATURE, FORMATION, AND SUBJECT MATTER OF

THE CONTRACT OF MARINE INSURANCE.

CHAP. I.

OF THE CONTRACT OF MARINE INSURANCE GENERALLY.

Definition of Marine Insurance.

Explanation of

terms.

SECT. I. Definition of Terms.

§ 1. MARINE Insurance is a contract whereby one party, for a stipulated sum, undertakes to indemnify the other against loss arising from certain perils or sea-risks, to which his ship, merchandize, or other interest, may be exposed during a certain voyage, or a certain period of time.

§ 2. The party interested in the property insured is called the insured or assured.

The property insured itself is called the subject of in

surance.

The title or interest which the assured has in this property is called his insurable interest.

The party undertaking to indemnify the assured against loss is called the insurer or underwriter. (a)

The stipulated sum for which he so undertakes to indemnify him is called the premium.

The instrument by which the contract of indemnity is effected is called in England the Policy.

The

(a) This latter term, as being more distinctive, will generally be employed throughout the following work. insurer is so called, because, as the premium or consideration for the undertaking to indemnify is always expressed

and understood to have been paid beforehand, the policy contains only the promise of the insurer, and is subscribed or underwritten by him alone; he is therefore called the subscriber or underwriter of the policy.