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 resulted from want of due diligence by the manager."

By the terms of the above policy no damage under $100 could be collected.

Another clause allowed the yacht to touch and stay at any ports or places, and for any and all purposes.

Another clause made the liability cover the hulls, spars, sails, boats, etc.

Yet another clause provided that a fixed sum should be returned for every fifteen days canceled and for a like number of days laid up dismantling, overhauling, repairing, etc. This, as the intelligent reader will see, is to guard against an usurious interest when the yacht is not exposed to the perils of corsairs or rovers on the deep green sea.

The collision clause generally provides that although the yacht insured may be in fault the underwriters must pay up to three-fourths of the value of the policy toward the repair of the damaged vessel or the general repairs. For example, a yacht insured for $5,000 runs into another craft and damages her to the extent of $4,000. In that event the underwriters are responsible to the extent of $3,750.

What is called the "racing clause" is sometimes added, which makes the underwriters liable for total or other loss while the yacht is in the act of racing.

A policy for $1,250 covering five months should cost no more than ten per cent. if the yacht is in good condition. Rates vary on laying-up policies