Q1: Smith, Jones, and Brown each own 1/3 of the cargo hauled on a ship. There is a problem with the ship and in order to address the imminent danger of the ship sinking, the captain decides to jettison Browns cargo. As a result of this effort, the ship makes it to port and the remaining cargo is saved. How will the loss be covered under general average losses?

Question 4 options:

Browns Joness and Smiths insurance will each cover 1/3 of the lost cargo.

Joness and Smiths insurance will cover of the lost cargo.

Since the cargo was jettisoned on purpose, the insurance carriers will not pay the loss.

Browns insurance will cover all of his lost cargo.

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Q2:All of the true regarding ocean marine insurance EXCEPT

Question 2 options:

	The insured represents the ships seaworthiness.
	Freight insurance provides business income coverage to cover the shipping costs
	The running down clause under the hull coverage provides coverage for the damage done to another vessel from negligent operation of the insured vessel
	The general average losses states that the owners of a ships cargo with share proportionately by all the owners if certain requirements are met.

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