P. KUNJURAMAN Vs. UNITED INDIA FIRE AND GENERAL

JUDGEMENT

(1.) This appeal by the plaintiff arisen from a suit to enforce a claim based on insurance policy. Most of the contentions raised in the court below do not survive for decision in the appeal. It is therefore necessary only to refer to the skeletal facts necessary for the consideration and decision of the limited issue arising in the appeal.

(2.) The plaintiff owned a fishing vessel. On 1-1-1974, it was involved in a fire accident. The vessel was insured with the 2nd defendant, which has now merged with the Ist defendant company. The policy was taken for a total amount of Rs. 50,000/-, Rs. 25,000/- for the Hull and Rs. 25,000/- for I the engine and machinery. The insurance covered was for total and / or constructive total loss as per Institute Standard T L O Clause (Hull). This clause precludes recovery of any partial loss. It is agreed that that is the combined effect of the clause and the operation of the provisions of S.56 (4) of the Marine Insurance Act, 1963. (hereinafter referred to as the Act).

(3.) S.56 and 57 of the Act (which correspond to sections having the same numbers in the Marine Insurance Act, 1906 of the United Kingdom) define the terms 'partial loss,' 'actual total loss' and 'constructive total loss.' Arnould's Law of Marine Insurance and Average deals with these concepts in Para.1134 of Chap.28 of Volume II of the book, Sixteenth Edition. It is stated therein: