The Marine Insurance Act, 1963

Section 6. Avoidance of wagering contracts

In force · As amended up to 2026-08

6. Avoidance of wagering contracts.— (1) Every contract of marine insurance by way of wagering is void. (2) A contract of marine insurance is deemed to be a wagering contract:— (a) where the assured has not an insurable interest as defined by this Act, and the contract is entered into with no expectation of acquiring such an interest; or (b) where the policy is made "interest or no interest", or "without further proof of interest than the policy itself, or "without benefit of salvage to the insurer", or subject to any other like term: Provided that, where there is no possibility of salvage, a policy may be effected without benefit of salvage to the insurer. 6. Touch and stay.— In the absence of any further license or usage, the liberty to touch and stay "at any port or place whatsoever" does not authorise the ship to depart from the course of her voyage from the port of departure to the port of destination.

Source: India Code