Actual Total Loss in United Kingdom

Definition of Actual Total Loss

In accordance with the work A Dictionary of Law, this is a description of Actual Total Loss : (in marine insurance)

A loss of a ship or cargo in which the subject matter is destroyed or damaged to such an extent that it can no longer be used for its purpose, or when the insured is irretrievably deprived of it. If the ship or cargo is the subject of a *valued policy, the measure of indemnity is the sum fixed by the policy; if the policy is unvalued, the measure of indemnity is the insurable value of the subject insured.

Compare constructive total loss.