7. Property warranted neutral, must be accompanied with proofs of its neutral character 8. Warranty of neutral property requires neutral conduct 142 3. The Insurers are not liable for ordinary perils or losses 245 B SECTION 8. Piracy, robbery, theft 10. Risk from prohibited and contraband trade 11. Other perils-general clause 12. Remote and consequential losses 13. Concurrence of different perils 14. Loss upon one subject by damage to another 449 15. Effect as to rights of property, claims, and liabilities 458 16. Effect as to conduct of agents A TREATISE ON The Law of Ensurance. CHAPTER I. OF THE CONTRACT OF INSURANCE. Section 1. What Insurance is. INSURANCE is a contract whereby, for a stipulated considera- Insurance tion, one party undertakes to indemnify the other against certain defined. risks. The party undertaking to make the indemnity, is called the insurer or underwriter; the party to be indemnified, the assured or insured. The agreed consideration is called a premium ; the instrument by which the contract is made, a policy; the events and causes of loss insured against, risks or perils; and the property or rights of the assured, in respect to which he is liable to loss, the subject or insurable interest. This contract is sometimes defined as extending only to property afloat upon the ocean, or employed in trade; (a) which makes it a maritime, or at most, a mercantile contract. But it has a wider use, and comprehends the risks of death, fire, drawing a blank in a lottery, and others not necessarily connected with trade; and it is so described by the more modern writers. (b) (a) So Emerigon describes it from Le Guidon, and cites Stypmannus, c. 7. n. 262, as extending it to property transported. Wesket. tit. Ins. 2. confines it to sea-risks, and says, he offers his definition as more adequate and complete than any he had met with, and comprehending those of all the esteemed authors who had treated of it.' Magens considers it as connected with trade. (b) Justice Lawrence says, 'the contract of insurance is applicable 2 N. R. 301. to protect men against uncertain events which may in anywise be of Lucena v. disadvantage to them.' Craufurd. |