A Glimpse into the History of Auto Insurance

Given that cars are a relatively recent phenomenon, auto insurance is a comparably modern convention. Nonetheless, the concept of insurance bears a much longer history. In this piece, we will journey through the evolution of insurance, with a special focus on auto insurance. If you have inquiries about coverage or policy choices for auto insurance, feel free to contact Foresee General Insurance Agency Inc., which proudly serves Harrison, AR.

The Evolution of Insurance Through Ages

Insurance, in elemental forms, has been in existence for millennia. Going as far back as 1750 BC, there are mentions of insurance for sea shipping in the Code of Hammurabi. During the medieval era, trade guilds occasionally offered compensation if a member’s forge or other properties were destroyed by fire. With the increased global shipping in the 17th and 18th centuries, shipping insurance saw a boom. Subsequently, Ben Franklin started a fire insurance scheme in Philadelphia in 1751.

Moving forward, auto insurance came onto the scene comparatively later. The first automobile invention dates back to 1886, and by the turn of the 19th century, cars were becoming considerably common in some regions. The first auto insurance policy is believed to have been procured by Gilbert J. Loomis in 1897 in Ohio.

In 1925, Massachusetts took the lead as the first state to make auto insurance mandatory. New York followed suit in 1956, North Carolina in 1957, and by 1970, car insurance policies were required in most states. However, coverage mandates vary from state to state, so consulting with an insurance agent is advisable.

If you or your loved ones need guidance in selecting an auto insurance policy, reach out to the Foresee General Insurance Agency Inc., serving Harrison, AR, for assistance.