Limitation of liability for maritime claims is part of the Nigerian shipping laws. Currently, section 351 of the Nigerian Merchant Shipping Act 2007 has made provision for the application of this principle including those who are to benefit from its application. The beneficiaries include the shipowners, salvors and insurers of liability. The write-up concludes by calling for the amendment of this law to enable victims of loss caused by shipowners to have direct action against the liability insurer. This would reduce the negative effect of the ‘pay to be paid’ principle of insurance claim.