Experiments With Prussic Acid.

Effects of Insurance on Maritime Liability Law

“…In fact the founders of the very first P&I club, Ship-owners Mutual Protection Society, were the managers of several hull clubs. 80 The main difference between the old hull clubs and the new P&I clubs was the type of insurance they were intended to provide. The former was established to cater for hull insurance 81 and the latter to provide coverage for the one-fourth value of a ship and the excess collision liability.…”

“…79 It is also argued that unlimited liability or a substantial increase in the liability limit would have a shocking effect on the insurance cost for low-tonnage vessels from the developing countries and would increase the transportation cost greatly in those countries. 80 Unfortunately, the argument of unreasonable insurance cost is presented mostly without any evidence in the form of statistical data. When available, the data actually proves the opposite.…”

“…79 See generally, LEG/CONF.5/6 (27 Sept. 1976) (comments of ICS) in IMO (1983) at p. 115. 80 LEG/CONF.5/C. 1/SR.9 (5 Nov. 1976) (comments of the Netherlands delegation) in IMO (1983) at p. 274.…”

“…Ship owners were liable for any loss suffered by cargo owners after deviation regardless of any causal connection between the loss and deviation. 80 Ship owners could not exclude their liability for such loss through exoneration clauses as deviation would automatically cancel the contract of carriage together with all its terms and conditions. 81 The justification for such strict liability was that cargo owners would lose their cargo insurance when the ships carrying their cargo deviated from the contracted or customary course.…”

“…79 Most of the major oil-importing countries are parties to the CLC/Fund convention regime with the noticeable exception of the US. 80 When in doubt about the financial capability of the insurer, a contracting state can consult with the certificate-issuing contracting state. 81 This ensures that insurance does not exist only in paper.…”