PT ADIDAYA ENERGY MANDIRI V MS FIRST CAPITAL INSURANCE LTD

[2022] SGHC(I) 14, Singapore International Commercial Court, Sir Jeremy Cooke IJ, 31 August 2022

Insurance (marine) – Constructive total loss – Breach of warranty – Breach of claims condition – Notice of abandonment – Suing and labouring costs – Marine Insurance Act 1906, sections 62 and 78 – Insurance Act 2015, sections 10 and 11

The claimant was the owner of an unmanned Single Point Mooring Buoy (SPM) operating in the Yetagun gas field. The SPM was insured under a Machinery & Equipment All Risks policy against total loss only. The policy contained a condition precedent that "in the event of the Assured becoming aware of any incident giving rise to a claim which may be covered under this policy that Underwriters be given written notification of such circumstances within thirty days. ..."; a warranty that the insured equipment is only to be operated by and under the supervision of suitably trained and authorised personnel (warranty 1); and a warranty that "suitable precautions and preservation/maintenance measures to be adopted when storing, handling, transporting and operating Insured Equipment ..." (warranty 8).