6:45 PM
Unknown
In some
sense we can say that insurance appears simultaneously with the
appearance of human society. We know of two types of economies in human
societies: natural or non-monetary economies (using barter and trade
with no centralized nor standardized set of financial instruments) and
more modern monetary economies (with markets, currency, financial
instruments and so on). The former is more primitive and the insurance
in such economies entails agreements of mutual aid. If one family's
house is destroyed the neighbours are committed to help rebuild.
Granaries housed another primitive form of insurance to indemnify
against famines....
