Abandonment and salvage

Abandonment and salvage,

Definition of Abandonment and salvage:

  1. Abandonment and salvage describes the forfeiture of property and the ensuing claim over that property by a second party. Salvage and abandonment clauses are most commonly found in marine insurance contracts.

  2. Abandonment and salvage is a term that can surface fairly frequently in insurance contracts. When such a clause is present, it indicates that the insurer has the ability to rightfully claim an insured asset or piece of property that has been destroyed and subsequently abandoned by its owners.

  3. The forfeiture of property by one party, which must be stated with written intent, and the subsequent claim of the property by a second party, which is often included as a clause in an insurance contract which granting an insurance company the salvage rights to claim the abandoned property.

How to use Abandonment and salvage in a sentence?

  1. In cases of partial loss and salvage, the insured generally cannot abandon the property and claim full value.
  2. Abandonment and salvage describes the forfeiture of property and the ensuing claim over that property by a second party.
  3. Abandonment and salvage can be added as a clause in an insurance contract, giving the insurer the option to rightfully claim an insured property that has been destroyed and subsequently abandoned by its owners.

Meaning of Abandonment and salvage & Abandonment and salvage Definition