6/7/2020 E-Library - Information At Your Fingertips: Printer Friendly answer for petitioner's liabilities arising from the sinking of the vessel. It is an indemnity insurance procured by petitioner for the benefit of the seafarers. As a result, petitioner is not directly liable to pay under the policies because it is merely the policyholder of the Personal Accident Policies. Section 176 (formerly Sec. 174) of The Insurance Code[67] defines casualty insurance as follows: SEC. 174. Casualty insurance is insurance covering loss or liability arising from accident or mishap, excluding certain types of loss which by law or custom are considered as falling exclusively within the scope of other types of insurance such as fire or marine. It includes, but is not limited to, employer's liability insurance, motor vehicle liability insurance, plate glass insurance, burglary and theft insurance, personal accident and health insurance as written by non-life insurance companies, and other substantially similar kinds of insurance. (Emphasis supplied.) Based on Section 176, casualty insurance may cover liability or loss arising from accident or mishap. In a liability insurance, the insurer assumes the obligation to pay third party in whose favor the liability of the insured arises.[68] On the other hand, personal accident insurance refers to insurance against death or injury by accident or accidental means.[69] In an accidental death policy, the accident causing the death is the thing insured against.[70] Notably, the parties did not submit the Personal Accident Policies with the NLRC or the CA. However, based on the pleadings submitted by the parties, SSSICI admitted that the crewmembers of MV Mahlia are insured for the amount of P3,240,000.00, payable upon the accidental death of the crewmembers.[71] It further admitted that the insured risk is the loss of life or bodily injury brought about by the violent external event or accidental means.[72] Based on the foregoing, the insurer itself admits that what is being insured against is not the liability of the shipowner for death or injuries to passengers but the death of the seafarers arising from accident. The liability of SSSICI to the beneficiaries is direct under the insurance contract.[73] Under the contract, petitioner is the policyholder, with SSSICI as the insurer, the crewmembers as the cestui que vie or the person whose life is being insured with another as beneficiary of the proceeds,[74] and the latter's heirs as beneficiaries of the policies. Upon petitioner's payment of the premiums intended as additional compensation to the crewmembers, SSSICI as insurer undertook to indemnify the crewmembers' beneficiaries from an unknown or contingent event.[75] Thus, when the CA conditioned the extinguishment of petitioner's liability on SSSICI's payment of the Personal Accident Policies' proceeds, it made a finding that petitioner is subsidiarily liable for the face value of the policies. To reiterate, however, there is no basis for such finding; there is no obligation on the part of petitioner to pay the insurance proceeds because petitioner is, in fact, the obligee or policyholder in the Personal Accident Policies. Since petitioner is not the party liable for the value of the insurance proceeds, elibrary.judiciary.gov.ph/thebookshelf/showdocsfriendly/1/62118 12/18