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Act No. 2427 Section 132

Section 132

SEC. 132. A person insured by a contract of marine insurance may abandon the thing insured, or any particular portion thereof separately valued by the policy, or otherwise separately insured and recover for a total loss thereof, when the cause of the loss is a peril insured against: (a) If more than three-fourths thereof in value is actually lost, or would have to be expended to recover it from the peril; (b) If it is injured to such an extent as to reduce its value more than three-fourths. (c) If the thing insured, being a ship, the contemplated voyage cannot be lawfully performed without incurring an expense to the insured of more than three-fourths the value of the thing abandoned, or without incurring a risk which a prudent man would not take under the circumstances; or (d) If the thing insured, being cargo or freightage the voyage cannot be performed nor another ship procured by the master, within a reasonable time and with reasonable diligence, to forward the cargo, without incurring the like expense or risk. But freightage cannot in any case be abandoned, unless the ship is also abandoned.

Read the full instrument → · Open the chapter this section belongs to: CHAPTER II.—Marine insurance. →

Other provisions in CHAPTER II.—Marine insurance.

Compiled from an official source version. Later amendments or repeals may not be reflected; the official text prevails. · Read the official text ↗ · Data as of July 4, 2026

CitationAct No. 2427 Section 132 (LawPlayer, data as of July 4, 2026)

Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).

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