Subhash is running a business of footwear and insured all his factory machinery on a market value basis with three different insurers as per details below : Insurer Policy taken Sum Insured in Lakh A Standard Fire and Sp

The policy issued by the insurer B does not cover the flood peril. Hence the same will not contribute to the loss. On the date of loss, the market value of the insured asset is ₹62.50 lakh. As against this, the aggregate of the sum insured under the policies issued by insurers A and C is only ₹43.75 lakh. The balance ₹18.75 lakh are deemed to be self-insured by Subhash. Accordingly, all the will share the loss of ₹10 lakh as under: Insurer A pays: 31.25/62.50 x 10 = ₹5.0 lacs Insurer C pays: 12.5/62.50 x 10 = ₹2.0 lacs Subhash bears: 18.75/62.50 x 10 = ₹3.0 lacs