Pirate Ransom Peifu Analysis Of The Related Issues

Nowadays, the Somali piracy act frequently, instead of their traditional robbery, they always levy huge sum of ransom by hijacking ship, goods or hostages .This new way of pirating presents a lot of new problems, such as will it still belong to traditional risk of piracy? How to deal with it in insurance business? Shall it to be allowed in General average ? At the same time, the law of piracy ransom and rules which refers to this aspect are all absent. In judicial practice, this kind of case are becoming more and more, the judges are facing new problems.When the ransom losses caused, how shall we deal with? This paper, however, focus on analyzing when the ransom payment caused, if it is can be covered by insurance or can be solved by other methods. This paper is constituted by five chapters, the first chapter introduces the origin of the risk of piracy and the definition of it. Then, analyses traditional piracy and piracy ransom to draw comparisons of them. In the third chapter, grasps the essence of piracy ransom by doing an research on the kind of loss and payment, by doing this, shows that the essence of ransom loss have a similarity in some respect with General average. Beside of this, points out that there are a lot of advanced experiences in maritime and insurance to draw on from other countries ,such as UK, etc. Later in the forth chapter, adventures an opinion of solution of sharing of ransom on the basis of theoretical of maritime. Finally, in the last chapter, makes some advice to the insurers in order to do some help for the practice of insurance Business.