The quality of underwater image is poor due to the properties of water and its impurities. The properties of water cause attenuation of light travels through the water medium, resulting in low contrast, blur, inhomogeneous lighting, and color diminishing of the underwater images. This paper proposes a method of enhancing the quality of underwater image. The proposed method consists of two stages. At the first stage, the contrast correction technique is applied to the image, where the image is applied with the modified Von Kries hypothesis and stretching the image into two different intensity images at the average value with respects to Rayleigh distribution. At the second stage, the color correction technique is applied to the image where the image is first converted into hue-saturation-value (HSV) color model. The modification of the color component increases the image color performance. Qualitative and quantitative analyses indicate that the proposed method outperforms other state-of-the-art methods in terms of contrast, details, and noise reduction.