Commercial Maritime Law

1. If the insured defaults in the payment of the insurance premium, the insurer may terminate the contract. Termination shall only be effective upon the lapse of 30 days from the date the insured is served the notice of payment and the notice of insurance contract termination. The notice of payment may be served by registered mail, or by any other means available to the insurer to obtain proof that the notice was delivered to the insured at the last address known to the insurer. The notice of contract termination and the notice of payment may be delivered by the same method. 2. Termination shall not affect the rights of bona fide third parties to whom the ownership of the insurance policy is transferred prior to the occurrence of any accident, and prior to the notification of contract termination. Commercial Maritime Law