ABSTRACT

Section 77(2) is the statutory version of the doctrine of merger which was first enunciated in Livie v Janson62 and later affirmed by the House of Lords in British and Foreign Insurance Co Ltd v Wilson Shipping Co Ltd,63 Section 77(2) states:

It is to be noted that the section is applicable only if the damage is unrepaired, and that both the partial loss and the subsequent total loss occur under the same policy.