When a partially damaged vessel needs repair, the insurer is entitled to make deductions ‘new for old’ (Marine Insurance Act 1906, s.69). When new material replaces old material, which has depreciated by wear and tear, the shipowner must bear part of the cost of the new material. A deduction of one-third or one-sixth is made from the amount otherwise payable. In practice all Institute Hull clauses provide that an average, whether particular or general, shall be paid without deductions ‘new for old. For non-marine applications see NEW FOR OLD.