International Nav. Co. v. Atlantic Mut. Ins.

Citations

• 100 F. 304
• 1900 U.S. Dist. LEXIS 397

Syllabus

<p>1. Marine Insurance — Valued Policies on Ship — Undervaluation — Partial Loss.</p> <p>Upon a partial loss on valued policy on ship, the cost of repairs when made (less the ordinary deduction of new for old) is the measure of indemnity against the insurers, each insurer being liable for that proportion of the amount of its insurance which the cost of repair bears to the policy value, and not, as in a valued policy on goods, the proportion which the loss bears to the actual sound value at the port of discharge.</p> <p>2. Same — Salvage—General Average — Damage and Expenditures — New York Rule.</p> <p>In such case, where in consequence of stranding, necessary salvage expenses are incurred for the rescue of ship, cargo and freight including direct injury to the ship in the salvage operations, insurers are liable to the assured in the first instance, independently of any general average adjustment, for the direct injury to the ship; and on payment they are subrogated to any rights of the assured to a general average contribution on freight and cargo for their share of that loss; and semble, by the law of this country, the same rule applies as respects the recovery in the first instance of salvage expenditures necessary for the rescue of the ship, though freight and cargo are thereby benefited; and by the New York rule, the amount of the recovery for such damage to the ship, and such expenditures, is not to be reduced in the proportion of the undervaluation in the policy.</p> <p>3. Same — Insurance on “Disbursements.”</p> <p>A policy on “disbursements” intended to cover a variety of subjects connected'with the use and service of the ship,'as well as any interest in the ship not covered by insurance, and being against total loss only, is not “simultaneous” insurance of the same date and “on the same premises,” when the date of the policy is different, though operative from the same day, the risk, subject-matter and conditions being different</p> <p>4. Same — Facts State