The processes involved in the formation of a marine insurance contract are different from the processes by which other types of contracts are formed. The formation of insurance contracts in London Market typically takes the following course: a prospective assured who is seeking the insurance cover approaches a Lloyd's accredited broker. The broker prepares the slip and takes it around the market seeking subscriptions. Then the underwriter, who wishes to participate in the insurance, will initial the slip, stating the percentage and the proportion of the risk he is prepared to underwrite. Once the broker has obtained the desired level of subscriptions, the slip is closed. A formal policy is frequently issued later. In general, the formation of a contract of marine insurance is governed by the ordinary principles of contract law. The purpose of this thesis is to analyse the application of contract law principles to the legal issues that arise at the formation stage in marine insurance contracts and to investigate whether these principles are suitable to dealing with the practical difficulties that arise in the London insurance market. The main body of the thesis is divided into three parts. The first part is about the legal issues arising before the marine insurance contract is concluded. The second part concentrates on the insurance broker who is playing a significant role during the process of contract formation. Legal issues on the duties, rights and liabilities of the insurance broker will be discussed. The third part focuses on legal issues arising after the marine insurance contract is concluded. Although the issues to be discussed arise in the post-contractual stage, they can often be traced to the processes involved at the formation stage
