Who Invented Insurance Anyway?
In the year 1666, the Great Fire of London destroyed over 30,000 homes. Shortly thereafter, modern insurance as we know it was born with an upstart building and fire insurance company created by Nicholas Barbon.
Less than 100 years later, Benjamin Franklin would popularize insurance in the United States after he co-founded the Philadelphia Contributorship. But the concept of insurance and risk management predate these events by almost 5,000 years.
Babylon and China
The Code of Hammurabi, inscribed around 1750 BC, is an ancient legal text comprised of 282 rules that standardized commercial interactions. Among the rules written were loss mitigation methods. The Code prescribed merchants who received a loan could pay an additional cost for the guarantee that if their goods were stolen the loan would be cancelled.
Insuring People
In Persia, the Achaemenian monarchs are known to be the first to insure individuals. The process involved various ethnic groups who would present a gift at the beginning of the year in exchange for protection from the Persian government. Government notary offices would register each transaction formally binding the agreement.
Life and Health
The Greeks and Romans were benevolent societies during their peak around 600 BC. As such, they provided care and support for families who lost loved ones. The benefits of the societal insurance included paying for the cost of health care at the time as well as financial support in the event a breadwinner passed away. Societal insurance continued for centuries until the 14th century.
Stand Alone Policies
It wasn’t until 1343 when the first documented insurance policy was written. The policy written in Genoa, Italy is generally accepted to be the oldest recorded insurance contract. In exchange for 680 gold florins (coin), the contract insured the shipment of ten bales of wool from the Port of Pisa to Sicily aboard the ship Santa Catalina.
Featured Blogs
- Aging and Our Body’s Ability to Heal Itself
- Keeping Health Insurance After a Layoff
- Waking Up to the Impact of Insomnia
- How Life Insurance Benefits Women
- What experts say about raising the retirement age
- Coverage for healthcare treatment denied? Here’s what you can do.
- Sharing the Road with Cyclists
- Buying Life Insurance for an Elderly Parent?
- Medicaid Unwinding: Your Questions Answered
- Living Your Best Life After 60
- Buying Health Insurance: A Millennial’s Guide
- Self-Love Ideas for Valentine’s Day
- Life Without Clutter
- Set Yourself Up for Success with Your Fitness Routine
- Winter Hydration – Do I Need It?
- I’m 60+; Do I Need Life Insurance?
- Why Do I Keep Breaking My New Year’s Resolutions?
- Closing Out the Year with a Smile!
- How to Enjoy a Long Layover
- 6 Cold Weather Safety Tips
- 10 Tips for Managing Cholesterol Levels
- How Much Life Insurance Do You Need Right Now?
- 3 Top Tips for Better Posture
- Building Bone Density for Seniors
- Living Outside Your Comfort Zone in Retirement
- 3 Top Habits that Lead to a Happy Life After Retirement
- Should You Insure Your Gifts?
- Everything You Need to Know When Retiring Under 65
- 7 Benefits of Slow Travel
- Utilizing Medicare Preventative Services
- The Harsh Reality of Credit Card Fees
- Tips to Avoid Stress Eating
- Common Exercise Pains – How to Work Past Them and When to Call for Help
- Know the Benefits of Walking
- 4 Tips for a Less Stressful Summer
- How to Choose an In-Home Care Provider for Your Loved One in 5 Steps
- 2020 Commencement Speech Quotes for All of Us
- Is Fasting a Fad?
- 3 Vegetables You Can Plant and Grow Anywhere Right Now!
- Summer is Almost Here! Can a Couch-to-5k Running Program Get You Ready?
- Special Needs Child? Consider Survivorship Life Insurance
- The Case(s) to Buy Life Insurance for Your Child
- The Safest Vehicles to Buy in Model Year 2020