Free of Particular Average (FPA)

Definition of "Free of Particular Average (FPA)"
  1. A clause in marine insurance limiting payment for partial loss or damage to cargo, except under certain situations like stranding, sinking, collision, or fire
How to use "Free of Particular Average (FPA)" in a sentence
  1. The company's marine policy included Free of Particular Average (FPA), limiting the scenarios in which they could claim for losses.
  2. Because of the Free of Particular Average (FPA) provision, the shipping company didn't receive compensation for the slight damage to the cargo.
  3. The insurance company denied their claim, citing the Free of Particular Average (FPA) clause in their contract.
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