for the assignment of policies, and enabling the assignee to sue thereon in his own name;

The Stamp Act of 1891, which lays down certain conditions relative to the contract, and declares that no policy shall be valid unless duly stamped; and

The Finance Act of 1901, which makes provision as to the continuation of policies beyond a period of twelve

months;

and to these it is hoped may be added this

year the Codification of Marine Insurance Law, for the Marine Insurance Bill first introduced to Parliament in 1894 has now been approved by both Houses, and only awaits the consideration of some amendments introduced in the Commons, to be ready for the Royal

assent.

It has often been said that the genius of the English people does not run in the direction of the codification of law, and certain it is that, at least until quite recently, we have never followed the example of our Continental neighbours in this matter. This is the more remarkable when we consider that both Lord Bacon and Bentham advised that codification ought to be undertaken. Our earliest experiment in the direction was in 1882, in the Bills of Exchange Act, and we have since had the Partnership Act of 1890, and the Sale of Goods Act of 1893, whilst we have now completed the codification of Marine Insurance Law. The necessity for this code is chiefly twofold— that the ordinary man of business may readily ascertain his rights, and that in the growth of international trading we may not discourage the foreigner, and so handicap ourselves in our dealings with him. The advantages of codification have been pointed out by many eminent lawyers since Bacon. Sir Frederick Pollock urges that by this means we secure completeness and consistency, and remarks that "case law is intelligible and accessible only to experts, and to them only with an expenditure of thought and labour often utterly disproportionate to the end in view." On the other hand, when addressing the Average Adjusters' Association last May, Mr. Justice Kennedy pointed out that "the results of codification are likely to be of least practical value, and to require most frequent revision, where the branch of law to which the codification is applied is highly technical, and deals with subject matter consisting of transactions the course and the nature of

which is constantly being modified by changing circumstances in the world of commerce, and wherein the conduct of business, even the simplest, must almost invariably be entrusted to experts;" and he considers that this applies to the coding of the law of Marine Insurance, since its subject matter is business of a technical kind directed by trained specialists, and its problems are being constantly evolved out of new conditions of commercial industry-conditions which are ever growing in complication." Mr. Justice Kennedy readily allows, however, that "it is a gain to have the general principles of the law of Marine Insurance stated authoritatively in a compendious form," only he urges that we should "not entertain a false or exaggerated notion of the value of such codification." Whilst we must recognise the force of these observations on this code, we may also believe that it will prove of great advantage, and that it will be welcomed by all commercial and legal communities.

The history and development of Marine Insurance have now been traced, though necessarily in a brief and hasty fashion, and there remains only to consider what are its benefits.

The cardinal principle of insurance is the division and distribution of liability. All insurance aims at producing a state of security. The security which Marine Insurance seeks to bring about is not the safety of the thing insuredthough incidentally it does help in this direction-for loss and disaster will inevitably occur to vessels and their cargoes during their voyages over the vast waters with their varied perils. The security attained is that of the adventurer, who by the transfer of his liability from specified risks is relieved from fear of loss and its attendant anxieties, even to his complete undoing.

Marine Insurance differs from wagering or gambling in that it is concerned with real values, and demands full disclosure of every material fact that is known or ought to be known to the assured. It is a contract of the utmost good faith, and is also a contract of indemnity. The primary meaning of this latter phrase is that the person insuring must really have something at risk and is to be reimbursed the actual loss he suffers.

I may again remind you that Marine Insurance was the first system of insurance to be discovered or invented-fire insurance

coming into existence in 1667, the year after the Great Fire of London, and life insurance not being adopted until the beginning of the 18th century. The earlier rise of Marine Insurance is consequent on the fact that the necessity of protection from the perils consequent on shipping was the first to force itself upon the notice of the commercial world. Its evolution we have briefly traced, its history is coincident with that of modern English commerce, and I trust that you have found that it possesses the romantic interest which I venture to claim for it. I believe that the history of any branch of commerce, or the life of any of our great merchant princes, is full of pure romance, and it is good for us that occasionally we should turn from the detail and drudgery of our daily avocations to glance at the past and trace the growth of some branch of our trade, noting how from small beginnings it has steadily progressed, checked occasionally by difficulties and perils, but surmounting every obstacle and pressing on to yet greater developments and wider spheres of influence; so that with the glamour of these great happenings about us, we may return to our duties and common tasks refreshed, re-invigorated, and encouraged.

THE FEDERATION OF INSURANCE INSTITUTES

OF GREAT BRITAIN AND IRELAND.

EXAMINATION PAPERS—1907.

FIRE BRANCH.

PART I., SUBJECT A.-POLICY DRAFTING AND
ENDORSEMENTS.

(HOSIERY-ENGLAND AND WALES.)

Two hours allowed for this paper.

The use of the Tariff is permitted.

Printed Warranties and Scale of Allowances must be used. The Warranties and Scale of Allowances need not be attached to the Draft, it being sufficient if the date of the issue used be referred to.

Draft a policy from the aftermentioned particulars and calculate the annual premium, showing the rates in detail:

DESCRIPTION FROM SURVEYOR'S REPORT.

Messrs. THOMAS, WILLIAMS & COMPANY, of Castle Mills, King Street, Leicester, Hosiery Manufacturers.

Third.

The ceiling of which is exactly 3 feet above the lowest point of the land level, made-up stock

room.

Knitting-room and store for cases and skips.

Mending, ironing, finishing, and tying-up rooms. containing electric irons and power sewing machines.

Warehouse, and for sewing and seaming.

Fourth. Stock-room, and for making-up, knitting, and

linking.