ABSTRACT
A policy of marine insurance does not guarantee that the subject matter insured will arrive safe and sound at the destination; it aims to indemnify the assured against the results of certain perils. Partial loss (particular average) is defined by section 64(1) of the Marine Insurance Act 1906, which states ‘A particular average loss is a partial loss of the subject-matter insured, caused by a peril insured against, and which is not a general average loss.’ For instance, if severe weather damages the hull of the vessel which can be repaired or if because of the severe weather seawater gets into the hold and one fourth of a cargo of sugar dissolves and, as a result, the shipowner loses one fourth of the freight payable under the contract of carriage, there will be partial losses suffered by the vessel, by the cargo and a partial loss of freight, respectively.
