§ 1991 Marine Profit Loss Presumption

This law says that if you insure future profits from a ship or other marine property, the loss of those profits is automatically assumed when the insured property is lost, and the payout is based on the amount you said the profits were worth.

Key Takeaways

•You can insure expected future earnings from a ship or marine property.
•If the ship or property is lost, the law assumes the expected earnings are lost as well.
•The amount paid for the lost earnings is the value you set when you insured them.

Example

A fishing company buys marine insurance that covers both its boat and the profit it expects to make from the next fishing season.

When the boat sinks, the insurer will treat the expected profit as lost too, and will pay the company the profit amount they listed when they got the insurance.

Key Takeaways

•You can insure expected future earnings from a ship or marine property.
•If the ship or property is lost, the law assumes the expected earnings are lost as well.
•The amount paid for the lost earnings is the value you set when you insured them.

Example

A fishing company buys marine insurance that covers both its boat and the profit it expects to make from the next fishing season.

When the boat sinks, the insurer will treat the expected profit as lost too, and will pay the company the profit amount they listed when they got the insurance.

Key Takeaways

Example

Key Terms

References

§ 1991 Marine Profit Loss Presumption

Key Takeaways

Example

Key Terms

References

Key Takeaways

Example

Key Terms

Related Statutes

References

Key Takeaways

Example

Key Terms

Related Statutes

References