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Shipmasters’ Business
1. What are the functions of the “P & I” clubs? A To insure owners against third party liabilities. B To protect owners against a total loss. C To protect ship’s personnel against sickness, injury, death or disability. D To insure cargo against theft and damage. 2. In the event of a “ A The underwriters will appoint a surveyor of their choice, to ascertain the nature, cause and extent of the damage. B The master, being on the spot, is the most likely to be appointed/ C The harbor master, being and impartial person, is most likely to be asked by underwriters to investigate. D An average adjuster will be appointed, to investigate and report to the underwriters. 3. What is the function of an “AVERAGE ADJUSTER?” A To adjust General Average. B To determine who is responsible for the loss on which the claim being made. C To protect the interests of the charterer to the best of their ability. D To assess the proportion of compensation paid to various interested parties in the event of a total loss. 4. Which insurance coverage protects an owner against “COLLISION LIABILITY”? A The P & I club. B The owners have the choice of which insurer to claim from. C There is no coverage from own damage losses, as a result of a collision. D The owner’s hull and machinery policy. 5. What is a “DEDUCTIBLE” in the context of marine insurance? A An item which insurers are not prepared to arrange coverage for. B A negotiated amount that the owner undertakes to self-insure against. C Amounts that the insurers impose as a penalty for not filling a claim within three months. D A reduction insurers grant to owners with consistent good performance. 6. When is a vessel considered to be a “TOTAL LOSS”? A When it is missing or when cost of repair exceeds value. B When there has been no communication with the vessel for more than a week. C When it is seriously damaged as a result of a collision and can only be repaired in a dry-dock. D When it is no longer able to trade without incurring major machinery breakdowns or repeated cargo equipment failure. |
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