MARINE INSURANCE ACT 1909 - SECT 73 Extent of liability of insurer for loss
MARINE INSURANCE ACT 1909 - SECT 73
Extent of liability of insurer for loss(1) The sum which the assured can recover in respect of a loss on a policy by which he or she is insured, in the case of an unvalued policy to the full extent of the insurable value, or, in the case of a valued policy to the full extent of the value fixed by the policy, is called the measure of indemnity.
(2) Where there is a loss recoverable under the policy, the
insurer, or each insurer if there be more than one, is liable for such
proportion of the measure of indemnity as the amount of his or her
subscription bears to the value fixed by the policy in the case of a valued
policy, or to the insurable value in the case of an unvalued policy.