It regulated Marine insurance in the District of Columbia and was intended as a model for the states to follow – it was passed on the initiative of the House Committee on Merchant Marine and Fisheries as being one of a series of steps necessary to improve shipping trade and the commerce of the U.S, by putting them more on parity with other competing commercial nations – the bill authorized the formation of specific marine insurance companies being formed to cover property damages done by fires, earthquakes, accidents, as well as covering injury and death