Multiple choice

Capture of Ship by enemy is

  1. Actual Total Loss

  2. Constructive Total Loss

  3. Partial Loss

  4. None of these

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

When the subject matter is completely lost or destroyed, it ceases to be a thing of its kind insured, it is known as actual total loss. The insured is deprived of its possession. Thus capture of ship by enemy is actual total loss, as the insured is deprived of its possession and it is completely lost.