The paddle steamer SS Arctic, part of the Collins Line known for its luxurious transatlantic voyages, was navigating the waters near Newfoundland when it collided with the smaller steamship, SS Vesta. The Arctic was transporting over three hundred passengers and crew when the catastrophic incident occurred. On board, there was a mix of emigrants, travelers, and crew members, all seeking passage across the Atlantic. After the collision, the Arctic began taking on water rapidly, leading to chaos as passengers attempted to escape. Despite the vessel's considerable size and speed, it succumbed to the forces of the collision, which proved disastrous for those onboard.

In a tragic turn of events, the lifeboats of some individual on the Vesta were also victims of the circumstances, leading to additional casualties. Approximately a dozen individuals aboard the Vesta were killed, with reports indicating that their lifeboat was struck by the sinking vessel. As news of this calamity spread, public outcry grew concerning the safety and regulation of maritime travel. This incident raised awareness regarding the need for improved maritime safety protocols, specifically in terms of lifeboat provisions and navigation technology, which were lacking in many vessels at the time.

The wreck of the Arctic became a symbol of the perils of sea travel during an era when ship design and safety measures were still evolving. The incident prompted the Collins Line to reevaluate its safety practices and contribute to the larger dialogues surrounding regulations governing passenger steamers. The sinking of the Arctic was a pivotal moment that paved the way for future maritime reforms in safety and emergency preparedness in the shipping industry.