What does Merchant Marine Act mean? Read on to discover the definition & meaning of the term Merchant Marine Act - to help you better understand the language used in insurance policies.
Merchant Marine Act
The Merchant Marine Act, also known as the Jones Act, is a piece of legislation that put into place a number of rules and regulations for shipping goods by water domestically in the United States. In the context of insurance, the Merchant Marine Act enabled sailors to seek damages from the ship captain, shipping company, or ship owner in the event of a cause of loss. So, it created incentive for shipping companies to purchase more liability insurance.
We hope the you have a better understanding of the meaning of Merchant Marine Act.