ABSTRACT
The expressions 'perils of the sea' and 'inherent vice' have long been used to express insured and excluded risks by both assureds and insurers, and are stipulated in both the Institute Cargo Clauses and the Marine Insurance Act (MIA) 1906. The meaning of 'inherent vice' and the concept of 'perils of the sea' has changed dramatically since the Supreme Court decision of The Cendor MOPU where the ruling created a shock wave in the London marine insurance market due to it appearing to run counter to accepted learning. The chapter provides a broad summary of the important elements of perils of the sea, inherent vice and causation in marine insurance law. Accordingly, in The Cendor MOPU the phrase 'inherent vice' lost its purpose both as an exclusion clause in s.55 of the MIA 1906 and in the standard Institute Cargo Clauses. It also addresses the meaning of 'perils of the sea' and 'inherent vice'.
