Particular loss , Marketing Research

Assignment Help:

Particular Loss : There are two types of partial losses as explained below:

General Average: Sometimes a ship owner either sacrifices some cargo the ship is carriage or incurs some expenditure which becomes necessary to save the journey. So a sacrifice or expenditure will have to be shared-by the interests in the saved journey. Thus, the insured will be protected from paying for the loss. Partial loss or Average of this natt ac is known as

General Average or GA and comes into being only when the ship carrying cargo arrives safely. If a ship is lost and does not, therefore, arrive a1 the ultimate destination, there can be no GA.

GA is defined as "an extraordinary sacrifice or expenditure intentionally and reasonably made or incurred for the common safety for the purpose of preserving from the peril, the property involved in a common maritime adventure. In other words, GA arises by either sacrificing (or destroying) the property (say, cargo) or incurring an expenditure (say, expenses to bring ship to safety). But the sacrifice tex pedicure must arise out of some extraordinary events, which might lead to loss to all the parities in the adventure Journeys). Further, the sacrifice expenditure must be made knowingly but prudently and reasonably.

Regarding GA, an accepted principle of maritime law is "that all who expose their property to maritime perils are in it together and should share in any misfortunate on an equal basis". In other words, GA sacrifices  expenditure is to be shared by all interest in the journey, i.e., the cargo owners, ship owners and freight earners.

GA expenditure can be understood clearly from the following examples:

i) Some cargo is thrown into the sea to lighten the ship in rough weather;

ii) Water is poured on cargo (not on fire) to extinguish a fire;

iii) Expenses are incurred to tow a ship in the danger of sinking to the safety of the port;

iv) A part of cargo is burnt to maintain steam in the ship's boilers when the ship runs short of fuel due to delay caused by heavy weather.

The sharing of GA sacrifice or expenditure by the three parties to the adventure is done in accordance with the intemationa1l.y agreed Rules, known as the York-Antwarp Kules 1974.

The working out of the shares and the preparation of the G.4 statement is entrusted to an Average Adjuster who is an expert in the field. When the ship arrives at tile destination port, it is declared to be on general average by the ship owner and an Average Adjuster is appointed. The Average Adjuster will draw up the statement of percentage of GA contribution by each cargo owner and calculate the value of shares of all interests. The

Ship owner then requires all these interests including cargo owners to pay a GA deposit and execute bond. Thereafter, cargo will be released to the cargo-owners. The ship owner may, however, deliver the cargo against either an underwriter's (insurance company's) or a banker's guarantee. On completion of final adjustment, the excess, if any, is to be paid by the cargo-owner by honouring the bond.

Where the cargo-owner has an insurance policy, he will recover the GA contribution or the loss suffered by him from the insurance company. All marine policies cover GA loss and sacrifice and the insurance companies settle claims for GA contribution and normally refund GA deposits.

Particular Average: It is defined as partial loss or damage caused accidentally by a peril insured against. Thus, when such a loss takes place, there is to be no contribution from other interest in the journey, as in the case of General Average loss. It becomes payable only when it is covered in the policy.


Related Discussions:- Particular loss

Documents in support of claims, Documents in Support of Claims:  Every cla...

Documents in Support of Claims:  Every claim has to be supported by documentary evidence. Important documents that should accompany the claim forms are the following: a) Certif

Exemption under bond under rule 13, Exemption under Bond under Rule 13: ...

Exemption under Bond under Rule 13: The procedure under this Rule is similar to the one under Rule 12, except that under this Rule appropriate bond is to be executed. Under t

Basic principles of ecgc operation, BASIC PRINCIPLES OF ECGC OPERATION : T...

BASIC PRINCIPLES OF ECGC OPERATION : There are two basic principles on which ECGC works: i) Spread of risks: An exporter is required to insure all the shipments that may be m

General provisions regarding exports and imports, GENERAL PROVISIONS REGARD...

GENERAL PROVISIONS REGARDING EXPORTS AND IMPORTS : As you know that the policy aims at promoting the exports and liberalising the imports. Let us first study the general provisi

Internal strengths-internal weaknesses & benefit, Consider the needs of you...

Consider the needs of your community and the world around you through the eyes of a social marketer. To this end, choose a social, environmental or health issue (e.g. recycling, sm

State the nature of research, State the Nature of Research The nature o...

State the Nature of Research The nature of research are as below:- (1) Objective & Logical: - Research strives to be logical and objective, applying each possible test

Unique selling proposition, Something unique that you have to tenders. Not ...

Something unique that you have to tenders. Not necessarily completely unique. You can appear unique by merely packaging your product or service in a unique way. For instance a lawy

Insurance claims, INSURANCE CLAIMS : When there is a loss, the insured i...

INSURANCE CLAIMS : When there is a loss, the insured is to proceed to claim the loss recovery from the insurer. The cardinal principle about insurance claims is that the insured

Marine insurance contract, Marine Insurance Contract : Article 3 of the In...

Marine Insurance Contract : Article 3 of the Indian Marine Insurance Act, 1963 defines marine insurance contract as "It is an agreement whereby the insurer undertakes to indemnify

Discuss the types of research design in brief, Question 1 Write a short no...

Question 1 Write a short notes on-                        A. Various types of Research(any five)                        B. Characteristics of Research Question 2 Expla

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd