Study On The Legal System Of Abandonment In Marine Insurance

Abandonment in marine insurance is when constructive total loss happens, the assured transfer rights of the insurer to the subject matter insured and demands indemnification from the insurer. There are many different rules of abandonment in about all country's legislations. And there are still a great number of deficiencies in Chinese Maritime Law. The existence of varied doctrines on abandonment gives rise to enormous perplexity in the actual application of this system. China is one of the leading countries conducting shipping business. In order to encourage the industry of transportation, balance the interests between the assured and the insurer, stabilize the insurance relationship, it is of vital importance to improve the current legislation about abandonment.Within contemporary Chinese legal framework,through the analysis and comparison of several typical legislations on insurance abandonment ,this article study and discuss the basic concepts, legal natures, character, subrogation, conditions of enforcement and the legal effect, then the author set out some new ideas. Finally, this article gives some suggestions of revisions of the clauses of abandonment.