We’re fascinated by everything related to the world of insurance, so you won’t be surprised in the slightest that we’re all boffins when it comes to our general insurance knowledge. Seriously, if there was an insurance trivia game, you’d do well to pair up with us. In today’s moment of madness, we thought we’d explore how insurance has evolved over time. You see, insurance has been around longer than your grandma’s secret cookie recipe.
So, let’s take a fun trip through time and explore how this fascinating industry has evolved over the centuries.
Ancient beginnings
Insurance can trace its roots back to ancient civilisations, like Babylon around 2000 BC. At this time, merchants would pay lenders extra money in exchange for protection against loss during shipping. It was basically an early form of risk management. And then, if you fast forward (but not too forward) to ancient Rome, there’s record of guilds helping members cover losses from fire or theft.
This kind of help was tied up in community support back then, and actually, at King Price we do everything we can to instil that sense of community in how we handle your cover today.
The Middle Ages
During the Middle Ages, insurance took on a few new forms, especially as maritime trade flourished. So, you would see shipowners begin to pool resources in order to cover losses from shipwrecks, because nothing says ‘teamwork’ like sharing your misfortunes. It has to be said, though, this ‘insurance’ was still pretty exclusive… Only wealthy merchants could afford it.
That’s definitely the opposite of what we’re going for in our kingdom, where we make it a priority to offer affordable premiums and a range of cheaper policies to suit everyone’s pockets.
The 17th century revolution
The 17th century saw the birth of modern insurance as we know it today. A key example is Lloyd’s of London. This is where sailors gathered to share tales of their adventures (and misadventures), and this establishment became synonymous with marine insurance. It actually set the stage for future insurance models.
Who would’ve thought that this place of sailor stories would spark the rise of modern insurance?
19th century: Life insurance takes centre stage
As society progressed into the 19th century, life insurance began gaining popularity. Wondering why? Well, with industrialisation came new risks and workers were getting injured or worse at alarming rates. To offset this, life insurance was introduced in order to provide financial security for those families left behind.
Comprehensive cover in the 20th century
The 20th century brought about significant changes in insurance offerings. Health insurance emerged as medical costs skyrocketed post-World War II. Suddenly, everyone wanted a way to pay for these really high hospital bills. It was also around this time that car insurance became mandatory in many places as automobiles took over our roads (and our lives).
Today: Tech meets tradition
Let’s step into the world of now. Over the past couple years or so, there’s been a rise in the array of short-term insurance products on the market. No longer is it just standard car and home insurance on offer. Now, there is a variety in types, levels of cover, and other factors that have motivated the introduction of more bespoke policies, from theft only car insurance and fire and fury home insurance, to our R1 insurance for motorbike accessories when you take out the king’s comprehensive motorbike cover.
More than this, though is the transformation that the insurance industry is experiencing as a result of technology. AI-driven algorithms have the potential to calculate premiums faster than you can say ‘insurance policy.’ Additionally, online platforms allow consumers to compare quotes with just a few clicks, so there are no more endless phone calls or paperwork.
The royal bottomline
Insurance has come a long way from its humble beginnings when merchants would band together against losses at sea. Today, it stands as an essential part of our lives, providing you with peace of mind in an unpredictable world. So, next time you’re reviewing your policy or filing a claim, remember… You’re part of this incredible journey through history.
Click here or WhatsApp us on 0860 50 50 50 for a commitment-free insurance quote.
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Psst… This blog provides general info only, and doesn’t count as financial or product advice from King Price or our legal and compliance experts. Remember, all our premiums are risk-profile-dependent, and T’s and C’s apply. Our most up-to-date KPPD (policy wording) can always be found here.
Our website T’s and C’s can be found here.
