The first written insurance policy was actually carved into an ancient Babylonian obelisk almost 4000 years ago. Known as the Code of Hammurabi, the obelisk detailed that if a merchant received a loan to fund a shipment, they would pay the lender an additional sum in exchange for the lender’s guarantee to cancel the loan should the shipment be stolen or lost at sea.
According to Greek history, between 1000 and 600 BCE a rule of maritime law was developed to settle disputes over cargo lost at sea. The Lex Rhodia dealt with situations where merchandise was thrown over board to lighten the ship to prevent it from sinking. In such cases, because the loss of merchandise was for the common good, the owner of that merchandise will be compensated by a set or premiums paid by the other merchants using the same ship.
Insurance has come a long way from just covering shipments by sea. These days, insurance can cover a wide variety, whether it’s a 2014 Mustang, your grandmother’s wedding ring or your start-up business. To learn how to best protect the things you love, call your local BrokerLink branch today.