Effects of Insurance on Maritime Liability Law
A Legal and Economic Analysis
The book explores the historical absence of insurance in maritime law, leading to principles like 'general average' and limited liability for shipowners. With insurance now widely available, these principles may hinder the goal of deterrence in liability law. It argues for their abolition and emphasizes that liability law should prioritize deterrence over compensation, especially in maritime cargo claims. In contrast, oil pollution liability must balance both compensation and deterrence due to uninsured victims. Finally, it challenges the notion that liability insurance undermines deterrence, suggesting it can actually support this goal.
