Which of the following refers to accidents or casualties at sea that insurance policies may cover?

The correct choice refers to the specific risks associated with maritime activities, which are known as "Perils of the Sea." This term encompasses various dangers that vessels may encounter while at sea, such as storms, collision, stranding, sinking, and other maritime incidents that could result in loss or damage to the ship or its cargo.

Understanding "Perils of the Sea" is crucial in insurance as it directly relates to the coverage provided by marine insurance policies. These policies are designed to protect against the unique risks that come with maritime operations, which are distinct from land-based risks.

The other options are relevant to insurance discussions but do not specifically pertain to accidents or casualties at sea. For instance, "Actual Loss" refers to the real financial impact or damage incurred, while "Insurable Interest" indicates the stake a person has in the subject of the insurance. "Liability Coverage" relates to protection against claims for damages to others rather than specific maritime risks. The focus on "Perils of the Sea" correctly identifies the nature of risks that marine insurance aims to address.