General Insurance

Insurance has a colourful history, which makes interesting reading. Early in the 1700’s a soundly-based marine insurance industry had formed in no small measure as a result of the activities of Mr Edward Lloyd. Lloyd established a coffee house in 1688 which became the gathering place for the commercial community and in particular those involved in the shipping and mercantile industry. The coffee house became a popular place for the arrangement of marine insurance.  In the early 18th Century a practice developed whereby a merchant wanting insurance would pass around to other merchants gathered in the coffee house a slip of paper on which was written details of the ship, cargo, voyage and amount of insurance sought. The slip was initialled by those who were willing to accept a proportion of the risk set out above on the slip.  When the entire amount of the insurance sought was underwritten, the insurance contract was complete (and hence the use of the term “underwriter” which remains with us today).