A Study On Legalizing Alteration Of Risks In China's Marine Insurance Law

Stemming from the English marine insurance, warranties in marine insurance was originally set up to control risks for ensuring proper management of the insured subject-matter without an alternation of risk. However, the whole situation has changed and today the trade industry and insurance industry have differed from those when warranties were created and therefore the traditional warranties could not adapt to current marine insurance practice .As a first and foremost common law concept, the warranties is based on MIA1906 and case laws and it has been widely inherited into other countries. Most of civil law countries do not have the concept of warranties in their insurance legislation, but have the concepts of alteration of risks similar to the warranty. In respect of the problems resulting from the traditional warranty system, various countries have dealt with them in different manners.The sole statutory provision in respect of the warranties is in article 235 of the Maritime Code of P.R. China, which is too simple to deal with the complicated judicial problems. By means of analyzing the warranties in common law counties and similar systems in civil law countries, the author puts forth the suggestions for establishment of alteration of risks system in our country. On the one hand, it will prevent the abuse of warranties by insurers; on the other hand, it will ensure the legitimate rights of assured to balance the rights of both parties.This thesis consists of five parts. The first part introduces warranties in English Marine insurance are introduces the practice of primary countries and warranties in English marine insurance are introduce in detail and the warranties in marine insurance of England and other countries of Anglo-American law system. That will be available to establishment and development of the China Marine Insurance; the second part relates to the system of Alteration of risk. Alteration of risk is a concept only existing in Civilian law countries, in common law countries, such as England, there is no this concept. However, the factors contained in the regulation of alteration of risk in Norwegian Marine Insurance Plan of 1996 also existing in marine insurance law of England through warranty, held covered clauses and navigation clauses. It is important to see the practice of primary countries and areas of system of civil law in marine insurance. Because China inherit the legislation tradition of system of civil law, understanding the provisions of correlative country and areas will give some help in adjusting Chinese marine insurance law. In the third chapter of this paper, the author makes some comp rations with corresponding articles in marine insurance law of England not only from economic respect but also from law respect. The forth chapter introduces actuality of warranties in China marine insurance, from several aspects of the meaning of warranties, clauses of Chinese people property insurance company and effect of breach warranties. By introducing the actuality of warranties in China marine insurance, we will figure out that some clauses of institute of London Marine Underwriters. But the law of China did not regulate the warranties concretely. To solve the problems of warranties the only way is to use the theories of contract law in China. The warranties in Chinese marine insurance ultimately originated from English marine insurance practice; however China also inherited the legislation tradition of system of civil law. At last of this paper, gives a conclusion is that alteration of risks in China marine insurance should regulate in details. It will be available to practices of justice and insurance in China.The paper makes a general study on the warranties in MIA 1906 and in the world marine insurance practices, and compares with the marine warranties in other countries. On the basis of situation of warranties system, this paper put forward to alteration of risk in civil law country. And then, it gives a conclusion that alteration of risks in China marine insurance should regulates in details. It will be available to practices of justice and insurance in China. Norwegian Maritime Insurance Plan of 1996 deeply mirrors the development of shipping industry and the great changes of shipping market. Many of its articles are brand new and more practicable. And it represents the developing trend of marine insurance legislation. Considering china also belongs to Civilian law countries, it's necessary to study Norwegian Marine Insurance Plan of 1996 before revising China Marine Code. So the author of this dissertation put forward immature suggestions on China's legislation on alteration of risk with the study of Norwegian Marine Insurance Plan of 1996.