Such protests must give a full account of the manner in which the damage sustained occurred, and must clearly show that it arose from the perils insured against. It is also advisable to give notice to the nearest Lloyd's agent, and to call in Lloyd's surveyor to examine and report on the damage sustained, as his report will always be respected by underwriters, and as considerably less difficulty will arise in obtaining payment of a claim based on the report of a Lloyd's surveyor than on the report of any casual surveyor who may be consulted. An owner must always hear in mind, when any accident occurs, even although he be fully insured, that it is his duty to do everything which lies in his power to save loss to his underwriters, and in case of a collision, if he be not in fault, he must do all he can to enable his underwriters to obtain payment from the colliding vessel. A question often arises where a vessel is very seriously damaged, either stranded or sunk by a collision, whether or not she is to be considered as a total loss. It must be borne in mind by owners that if the vessel is not actually gone, underwriters always have the right to repair her at their own expense and hand her back to the owner if they think fit to do so.
Losses are of two kinds, either a total loss or a constructive total loss.
In the latter case, if the owner has reasonable grounds for supposing that the repairs of the vessel will amount to more than her full value, he must send a notice of abandonment to the underwriters, which they must accept or decline within a reasonable time. If they accept it, they must of course pay on a total loss-they having the benefit of any salvage which may be made. If they decline to accept it, they must be prepared to bear the expense of restoring the vessel to her former condition. An owner must always remember that, though insured, it is his duty to act in every case as though he were uninsured, and when he presents his claim, he must be in a position to prove that be has used every reasonable exertion to prevent loss to his underwriters. One-fourth of the damage inflicted on another vessel by collision.