Tuesday, 12 August 2008

Appearance of auto insurance

The first auto insurance policy was issued in the USA. In 1898 the Travelers Insurance Company has insured a auto for the first time. Now it is impossible to imagine the auto without an insurance policy on the roads of any civilized country.
Mr. Truman Martin became the first owner of the insured auto. He paid $12.25 for the auto insurance. And in the case of an accident he could get only $500. The price of the auto insurance policy was rather high. However, Mr. Truman’s wish to get the auto insurance policy was reasonable. The thing is that it was only 4000 people, who were able to buy a auto. Horses were the main kind of transport. They made a great danger for drivers, but auto insurance wasn’t widespread.

Appearance of auto insurance

Situation concerning USA auto insurance changed at the 1920s, because Ford’s Conveyor opened. A number of the autos on the roads increased sharply and it was necessary to insure drivers against the emergency conditions. From this moment USA auto insurance became obligatory (not only voluntary insurance as some years ago).
Strong requirement to insure autos was officially introduced in the Massachusetts State in 1925. A short time later other states followed this example. Idea of the auto insurance aroused keen interest among the population. The auto was rather luxury, than usual transport, and nobody wanted to sustain damage.
After the example of the USA auto insurance was introduced in European countries. Thus in the fifties auto insurance became obligatory in Europe too.

Today most people have already known about different kinds of that insurance, USA auto insurance companies and can choose proper insurance scheme. There are several hundreds of the auto insurance companies at the auto insurance market. Every company offers different scheme. And you should choose suitable insurance company and conditions. A number of the questions usually appear exactly at this stage. Of course most of us are not professional at the USA auto insurance sphere. That’s why we decided to dedicate several articles to the theory of auto insurance.

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