4. Name of the Ship and Master.

The name of the ship, if stated, should be stated correctly. However, neither the name of the ship nor of the master is needed in open policies on goods. It is needed in policies on the ship itself, and on voyage policies for goods or freight. It may be qualified by inserting the words "or by what other name the ship may be called," and "or whosoever else may go for master."

5. Liberty to Touch and Stay.

Without special privileges inserted in the policy enabling the ship to call at any place or places whatsoever, or any places within the limits specified in the insurance, the ship must pursue her voyage in the usual course followed by other ships in making the same voyage. A deviation from such course would vitiate the policy.

If a ship is allowed to call at any particular place under a voyage policy she must not stay there longer than necessary, as that also is a deviation, and when several places are mentioned in the policy, she must call at the places so specified in the order stated in the policy, if it is a voyage policy.

6. The Value.

It has already been explained why this is inserted. It will always be best in policies on steamers to place a

separate value upon the hull and upon the machinery. The contemplated profits on goods, as also the premiums and commissions thereon, may be added to the value of the goods insured, although it must be so stated on the face of the policy, in order to prevent disputes in the case of a total loss.

7. The Risks Warranted.

All perils and risks intended to be insured against must be specially named in the policy, otherwise the underwriters will not be liable if a loss happens through a peril or risk not contemplated, inasmuch as they are only liable for losses arising from perils and risks specially enumerated.

The words "perils of the sea" comprise all perils consequent upon navigation which cannot be foreseen or prevented by human power or agency.

Barratry of the masters and mariners" includes any fraud committed by the master or mariners upon the

owner.

The words "lost or not lost" inserted in the first section of the policy will render the underwriter liable for losses occasioned by any of the perils therein enumerated, although the ship be lost at the time of the insurance; which accident but for these words would avoid the policy. And even where the subject-matter of insurance had not vested in the assured at the time of the loss, as where a merchant having purchased goods at sea were to insure them "lost or not lost," the policy

would cover a loss that befel the goods during the voyage but before the purchase.

The general words "all other perils, losses and misfortunes," include all perils, losses and misfortunes which happen without the wilful neglect of the master or mariners during the continuance of the risk. The other words and risks sufficiently explain themselves.

8. Powers to Labour in case of Loss.

All policies should and usually do contain ample powers enabling the assured in case of loss to labour for the recovery in rescuing of the damaged property. Whatever is done under this power must be done bonâ fide, and every exertion must be used for the good of all concerned. When a loss happens, the party suffering it should forget he is insured until no further effort can be put forth to lessen it.

9. Special Warranties.

Special warranties are often introduced to meet special cases. These are always matter of agreement between the parties themselves who should take great care to see that their intentions are expressed in the clearest language, because these special warranties are always strictly construed. They must always appear on the face of the policy.

The principal matters which are ordinarily made the

subject of an express warranty are as follows:-1. The time of sailing. 2. The safety of the ship at a particular time. 3. Her departure with a convoy. 4. That the property is neutral. 5. Freedom from seizure in port.

10. The Memorandum.

In addition to special warranties, the underwriters protect themselves by the memorandum to the policy, the effect of this is to free them from all liability for partial losses, except the losses amount to the per centages on the articles enumerated in the memorandum or are general average losses, or the ship is stranded.

The perils covered by the policy include not merely such as happen on the high seas, or whilst the ship is breaking ground or has become stranded; but they extend to any damage occasioned by salt water making its way into the hold and injuring the goods whilst the vessel is in the act of being loaded-Davidson v. Burnand;-Weekly Notes, C. P. p. 299.

There is always an implied warranty in a "voyage policy," which is, that the ship shall pursue her course in a proper manner, consequently any deviation or change of risk makes the policy voidable.

Another implied warranty in every policy is that the ship is seaworthy; and unless the ship is seaworthy at the commencement of the voyage, the assured cannot recover if the ship is lost.

It is, however, competent to the parties to vary this implied warranty by an express agreement; which must be clearly and distinctly stated on the policy. This should be particularly remembered by persons advancing money on freight, bottomry, &c. who have no means of ascertaining whether or not the ship is seaworthy.

It is absolutely necessary that in every insurance the person insuring should act honestly by the underwriters, and inform them fully of all the facts connected with the proposed risk known to himself. Nothing must be misrepresented; and nothing must be concealed, otherwise the underwriters will be justified in vacating the policy; for nothing has been more clearly settled than that fraud, misrepresentation, or concealment, makes void the policy, and prevents the guilty person recovering thereunder.

11. The Running Down Clause.

Although there is no doubt whatever that the underwriter is liable to indemnify the assured in the case of accidental collision, or collision occasioned by stress of weather, tempest, fogs, or other unavoidable cause, still they are not liable under the common form of policy for collision occasioned by the wilful acts or defaults of the master or crew; in order to guard against losses of this kind, shipowners insure with the collision or “running down clause," embodied in the policy.