Define the term 'Constructive Total Loss' for the purposes of the Essay

Define the term 'Constructive Total Loss' for the purposes of the Marine Insurance Act 1906. What are the difficulties with this definition Use case law examples to support your arguments - Essay Example The first was in the United Kingdom Court of Appeal in two thousand and eleven namely; EWCA Civ 24 and the second was the judgment in the case of Masefield v. Amlin delivered by Lord Steel in two thousand and ten namely; Lloyd’s Rep. IR 345. The definition of Constructive Total Loss provided by the Marine Insurance of 1906 leaves gaps and raises many questions when applied in modern cases that did not exist during enactment of the law more than one hundred years ago. Complexity arises when the complainant argues that ignoring a ransom payment amounts to asserting that a total loss claim is genuine and legal. This explanation means that it is not possible to retrieve deprivation according to the Marine Insurance Act of 1906 section fifty-seven subsection one. In this case, it is against public policy to claim a ransom. It is at this point that the definition provided by the 1906 Act creates difficulties regarding finding a solution to such situations. The definition generates crucial questions covering both legal aspects and public policy formulation processes. This discourse examines the difficulties raised by defining a total loss on the background of English definition given in the marine Insurance Policy of 1906. Highlighted examples include the new wave of crimes such as piracy The introduction of the constructive total loss aimed at codifying regulations touching on marine insurance. This formed the basis of introducing section sixty of in Marine Insurance Act of 19061. A constructive total loss during reasonable abandonment of the insured property regarding the unavoidability of occurrence of a total loss depending on any direct offering in the public policy. Alternatively it occurs if it was difficult to prevent the occurrence of a total loss. The legislative Act of 19062 covering marine policy further specifies that it is not possible for the owner of the property to recover viewing the position of the case and that