Double Insurance (continued)
Marginal note:Right of contribution
87 (1) Where an insured is over-insured by double insurance, each insurer is liable, as between the insurer and the other insurers, to contribute rateably to the payment of a loss in proportion to the amount for which the insurer is liable under the insurer’s contract.
Marginal note:Remedies for overcontribution
(2) An insurer who contributes more to the payment of a loss than required by subsection (1) is entitled to bring an action against the other insurers for contribution and to such other remedies as a surety is entitled to for paying more than the surety’s proportion of a debt.
88 Where an insured is insured for a sum that is less than the insurable value of the subject-matter insured, in the case of an unvalued policy, or less than the value of the subject-matter insured specified by the policy, in the case of a valued policy, the insured is deemed to be self-insured in respect of the uninsured difference.
Marginal note:Mutual insurance
89 (1) Mutual insurance is insurance whereby two or more persons mutually agree to insure one another against marine losses.
Marginal note:Application of Act
(2) Subject to subsections (3) and (4), this Act applies in respect of mutual insurance.
(3) The provisions of this Act relating to premiums do not apply in respect of mutual insurance, but a guarantee, or such other arrangement as may be agreed on, may be substituted for the premium for mutual insurance.
Marginal note:Amendment by mutual insurance association
(4) The provisions of this Act may, in the case of mutual insurance effected by an association, be modified by a marine policy issued by the association, or by the rules and regulations of the association, to the extent that the provisions may be modified by agreement of the parties to the insurance.
Marginal note:Exclusion or variation of rights, duties or liabilities
90 Any right, duty or liability that arises under a contract by implication of law, or that is established by this Act and may be lawfully modified by the parties to a contract, may be negated or varied by express agreement or by usage of the trade if the usage binds both parties to the contract.
Marginal note:Question of fact
91 Any question as to what constitutes a reasonable time, a reasonable premium or reasonable diligence for the purposes of this Act is a question of fact.
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