Marine Insurance Act
The Marine Insurance Act 1906 is a key piece of legislation in the UK that regulates marine insurance contracts. It outlines the rights and responsibilities of insurers and policyholders regarding maritime risks, such as damage to ships or cargo. The Act introduced important principles like "utmost good faith," meaning both parties must be honest about risks. It also clarifies how claims should be handled and defines various types of marine insurance coverage. Overall, the Act provides a legal framework to protect businesses involved in shipping and trade by ensuring fair practices in marine insurance.
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The Marine Insurance Act is a law that regulates insurance for ships and cargo traveling on water. It defines the rights and responsibilities of insurers (companies providing insurance) and insured parties (those purchasing insurance), covering aspects like risk assessment, policy terms, and claims handling. Introduced in the 19th century, it establishes essential principles, such as insurable interest (the need for the insured to have a stake in the insured item), and governs how disputes are resolved. This act aims to promote fairness and clarity in maritime commerce, ensuring protections are in place for both insurers and those they insure.