Assignment in Marine Insurance

A marine policy is assignable unless it contains terms expressly prohibiting assignment.

It may be assigned either before or after loss.

A marine policy may be assigned by indorsement thereon or one other customary manner. A marine policy is freely assignable unless assignment is express prohibited.

A marine policy is not an incident of sale. So, if there is intention to assign a policy when interest passes, there must be an agreement to this effect.

Section 53 of the Marine Insurance Act, 1963 states, where the assured parted with or lost his interest in the subject-matter insured and has not, before or at time of so doing, expressly or implidly agreed to assign the policy, any subsequent assignment of the policy is inoperative.

Section 17 in the subject-matter insured, he does not thereby transfer to the assignee his rights under the contracts of insurance.

The feature of return of premium has been already discussed in the portion of life insurance.