History of Insurance in Timeline

Insurance is a risk management tool that provides financial protection against potential losses. In exchange for regular payments (premiums), an insurer agrees to compensate the insured party for specific losses or damages covered by the insurance policy. It helps individuals and organizations mitigate financial risks associated with unforeseen events, such as accidents, property damage, illness, or death. By transferring risk to the insurer, insurance allows policyholders to protect their assets and financial stability.

1911: National Insurance Act

In 1911, the Liberal government in Britain introduced the National Insurance Act, providing the British working classes with the first contributory system of insurance against illness and unemployment.

1949: Insurance industry in China nationalized

In 1949, the insurance industry in China was nationalized, and the People's Insurance Company of China became the sole provider.

1973: Insurance Companies Act

In 1973, the Insurance Companies Act was passed in the United Kingdom.

1978: Market reforms lead to an increase in the market

In 1978, market reforms in China led to an increase in the insurance market.

1982: Insurance Companies Act Passed

In 1982, another Insurance Companies Act was passed in the United Kingdom.

1988: California Proposition 103

In 1988, California Proposition 103 was introduced, aiming to reduce home insurance rates, although it has been both praised and criticized.

1992: Third Non-Life Directive and Third Life Directive Passed

In 1992, the Third Non-Life Directive and the Third Life Directive were passed in the European Union.

1994: Third Non-Life Directive and Third Life Directive Effective

In 1994, the Third Non-Life Directive and the Third Life Directive, passed in 1992, became effective, creating a single insurance market in Europe.

1995: Insurance Law of the People's Republic of China

In 1995, a comprehensive Insurance Law of the People's Republic of China was passed.

1996: Insurers Take Active Role in Loss Mitigation

Around 1996, insurers began to take a more active role in loss mitigation, such as through building codes.

1998: China Insurance Regulatory Commission (CIRC) formed

In 1998, the China Insurance Regulatory Commission (CIRC) was formed, granting it broad regulatory authority over the insurance market of China.

1999: IRDA Act

In 1999, the IRDA Act was established, forming the Insurance Regulatory and Development Authority (IRDA) in India.

2002: Insurance patents issued

In 2002, 15 insurance patents were issued in the United States.

2003: Underwriting Loss for Property and Casualty Insurance Companies

In the United States, the underwriting loss of property and casualty insurance companies was $142.3 billion in the five years ending 2003.

2004: The Hartford pays Bancorp Services for patent infringement

In 2004, The Hartford insurance company had to pay $80 million to Bancorp Services to settle a patent infringement lawsuit.

2005: Financial Services Authority took over insurance regulation

In 2005, in the United Kingdom, the Financial Services Authority took over insurance regulation from the General Insurance Standards Council.

2005: First US insurance patent granted

In 2005, the first US insurance patent was granted, concerning coverage of data transferred over the internet.

2006: Insurance patents issued

In 2006, 44 insurance patents were issued in the United States.

July 2007: FTC report on credit-based insurance scores

In July 2007, the US Federal Trade Commission (FTC) released a report presenting the results of a study concerning credit-based insurance scores in automobile insurance. The study found that these scores are effective predictors of risk.

2007: U.S. Industry Profits From Float

In 2007, U.S. industry profits from float totaled $58 billion.

2008: Warren Buffett on Float

In 2008, Warren Buffett mentioned in a letter to investors that "we were paid $2.8 billion to hold our float".

2008: International Network of Insurance Associations Became Active

In 2008, the International Network of Insurance Associations (INIA) became active.

2009: Warren Buffett Writes Letter to Investors

In 2009, Warren Buffett wrote a letter to investors.

2009: Patent application posted

In 2009, a patent application was posted that describes a method for increasing the ease of changing insurance companies.

2012: Reforms to warranty and other aspects under discussion

As of 2012, reforms to warranty and other aspects are under discussion in the United Kingdom.

2012: Global Federation of Insurance Associations Founded

In 2012, the Global Federation of Insurance Associations (GFIA) was formally founded to increase insurance industry effectiveness in providing input to international regulatory bodies.

2014: University of Tennessee Research

In 2014, University of Tennessee research found that company staff recognized the importance of insurance but were too distant from its provision or cost.

2017: Special check mark appeared in the search for Yandex system

In 2017, within the framework of the joint project of the Bank of Russia and Yandex, a special check mark appeared in the search for Yandex system to show which financial services are offered by insurance companies.

2023: Global Insurance Market Premiums

According to Swiss Re, the global insurance market wrote $7.186 trillion in direct premiums in 2023, with the United States having the largest market share.