Throughout time, a main objective of organizations and individuals has been risk management. Insurance may be considered a way of safeguarding against risk. Risk adverseness could be considered a primary goal of humans and institutions throughout the history of life insurance. Insurance, in short, is typically about protecting against danger.
Certain burial clubs were established in ancient Rome which may have helped to pay for funeral expenses of members and helped survivors out with money also. And like ancient Rome, there were similar Buddhist burial clubs to aid families and help widows and their kids.
Life insurance was illegal in many parts of Europe but England was able to promote it. In addition to risk management, the history of life insurance reminds us that life insurance was also popular in the gambling arena. Gambling was so widespread that whenever names of significant people who were gravely ill were put in the news publications, people bet on their projected death dates. In the 18th century, these bets were declared illegal.
The first insurance company in America came about in the 18th century as a way to assist ministers and their families, The Presbyterian Synod of Philadelphia founded the first life insurance corporation. Shortly after, the first life insurance policy made available to the public was distributed. Life insurance may not have become particularly prominent until cars came on the scene, which created the need for public liability insurance. Under British direction, the Workmen’s Compensation Act was set in place, which stated that a business may have to insure its workers against business mishaps.
Employers may offer group insurance to their workers for life, health and retirement. It may often be customary for the employer to pay a portion and the workers are required to pay a portion of the premium to be eligible for this coverage.
Although the American insurance business may have been influenced in a large part by Britain, the US market grew slightly differently from that of the United Kingdom. As America moved from a colonial base to its’ own independence, the insurance business grew from a few companies to the life insurance corporation that is so popular today. Life insurance companies may now offer various coverage types and services. The history of life insurance and the history of life insurancecorporationscould be considered to have evolved greatly over the past few centuries.