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99-509: The earliest form of insurance is probably marine insurance, although forms of mutuality (group self-insurance) existed before that. Marine insurance originated with the merchants of the Hanseatic league and the financiers of Lombardy in the 12th and 13th centuries, recorded in the name of Lombard Street in the City of London, the oldest trading insurance market. In those early days, insurance

198-409: A condition is a subjectivity of the contract, such that if the condition is not satisfied, the contract will not bind. By contrast, a warranty of a fact or state of affairs in an insurance contract, once breached, discharges the insurer from liability under the contract from the moment of breach; while breach of a mere condition gives rise to a claim in damages alone. Insurance regulation that governs

297-612: A Wendish offensive, towns from Prussia and the Netherlands, and eventually joined by Wendish towns, allied in the Confederation of Cologne in 1368, sacked Copenhagen and Helsingborg , and forced Valdemar IV, King of Denmark , and his son-in-law Haakon VI, King of Norway , to grant tax exemptions and influence over Øresund fortresses for 15 years in the peace treaty of Stralsund in 1370. It extended privileges in Scania to

396-440: A branch in, and/ or provide cross-border insurance coverage (through a process known as "free provision of services") into, any other of the member states without being regulated by those states' regulators. Provision of cross-border services in this manner is known as "passporting". The insurance sector went through a full circle of phases from being unregulated to completely regulated and then currently being partly deregulated. It

495-593: A consortium of 7 Hanseatic cities, and enjoyed full Hanseatic trading privileges. It went to Margaret in 1398. The Victual Brothers controlled Gotland in 1398. It was conquered by the Teutonic Order with support from the Prussian towns and its privileges were restored. The grandmaster of the Teutonic Order was often seen as the head of the Hanse ( caput Hansae ), both abroad and by some League members. Over

594-452: A court of law. The law permits gambling companies to advertise on television and radio. The act is wide-ranging including regulation of lotteries. The "no purchase necessary" clause on on-product promotions and semi-legal competitions went, replaced with the so-called "New Zealand Model" where purchase may be a requirement, if the purchase is at the "normal selling price". The act, together with regulations and specifications developed by

693-454: A date of foundation. Historians traditionally traced its origins to the rebuilding of the north German town of Lübeck in 1159 by the powerful Henry the Lion , Duke of Saxony and Bavaria , after he had captured the area from Adolf II , Count of Schauenburg and Holstein . More recent scholarship has deemphasized Lübeck, viewing it as one of several regional trading centers, and presenting

792-461: A few... whereby all merchants, especially those of the younger sort, are allured to venture more willingly and more freely." The expansion of English maritime trade made London the centre of an insurance market that, by the 18th century, was the largest in the world. Underwriters sat in bars, or newly fashionable coffee-shops such as those run by Edward Lloyd on Lombard Street, considering the details of proposed mercantile "adventures" and indicating

891-416: A material misrepresentation is made, the insurer may avoid (or "rescind") the policy, i.e. the insurer may treat the policy as having been void from inception, returning the premium paid. Reinsurance contracts (between reinsurers and insurers/cedents) require the highest level of utmost good faith, and such utmost good faith is considered the foundation of reinsurance. In order to make reinsurance affordable,

990-429: A premium may be greater than that for which it had bargained. As a result, most legal systems worldwide apply common-law principles to the adjudication of commercial insurance disputes, whereby it is accepted that the insurer and the insured are more-or-less equal partners in the division of the economic burden of risk. Most, and until 2005 all, common law jurisdictions require the insured to have an insurable interest in

1089-418: A reinsurer cannot duplicate costly insurer underwriting and claim handling costs, and must rely on an insurer's absolute transparency and candor. In return, a reinsurer must appropriately investigate and reimburse an insurer's good faith claim payments, following the fortunes of the cedent. In commercial contracts generally, a warranty is a contractual term, breach of which gives right to damages alone; whereas

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1188-455: A representative merchant and warehouse. Often they were not permanently manned. In Scania , Denmark, around 30 Hanseatic seasonal factories produced salted herring, these were called vitten and were granted legal autonomy to the extent that Burkhardt argues that they resembled a fifth kontor and would be seen as such if not for their early decline. In England, factories in Boston (the outpost

1287-615: A treaty with the Visby Hansa, northern German merchants made regular stops at Gotland. In the first half of the 13th century, they established their own trading station or Kontor in Novgorod, known as the Peterhof , up the river Volkhov . Lübeck soon became a base for merchants from Saxony and Westphalia trading eastward and northward; for them, because of its shorter and easier access route and better legal protections, it

1386-533: A variety of vessel types for shipping across the seas and navigating rivers. The most emblematic type was the cog . Expressing diversity in construction, it was depicted on Hanseatic seals and coats of arms. By the end of the Middle Ages, the cog was replaced by types like the hulk , which later gave way to larger carvel ships. Hanse is the Old High German word for a band or troop. This word

1485-569: Is an act of the Parliament of the United Kingdom . It mainly applies to England and Wales , and to Scotland , and is designed to control all forms of gambling . It transfers authority for licensing gambling from the magistrates' courts to local authorities (specifically unitary authorities, and the councils of metropolitan borough, non-metropolitan district and London boroughs), or to Scottish licensing boards . The Act also created

1584-550: Is found to be guilty of fraud or deception, they can be fined either by regulatory bodies, or in a lawsuit by the insured or surrounding party. In more severe cases, or if the party has had a series of complaints or rulings, the insurer's license may be revoked or suspended. Bad faith actions are exceedingly rare outside the United States. Even within the U.S. the full rigor of the doctrine is limited to certain states such as California. Every developed sovereign state regulates

1683-685: Is governed by a number of acts. The first statute in India to regulate the life insurance business was the Indian Life Assurance Companies Act, 1912. The Insurance Act of 1938 was the first legislation governing all forms of insurance to provide strict state control over insurance business. Life insurance in India was completely nationalized on January 19, 1956, through the Life Insurance Corporation Act. All 245 insurance companies operating then in

1782-405: Is of a transfer of risk freely negotiated between counterparties of similar bargaining power, equally deserving (or not) of the courts' protection. The underwriter has the advantage, by dint of drafting the policy terms, of delineating the precise boundaries of cover. The prospective insured has the equal and opposite advantage of knowing the precise risk proposed to be insured in better detail than

1881-642: The Burgundian State . The city of Lübeck faced financial troubles in 1403, leading dissenting craftsmen to establish a supervising committee in 1405. This triggered a governmental crisis in 1408 when the committee rebelled and established a new town council. Similar revolts broke out in Wismar and Rostock, with new town councils established in 1410. The crisis was ended in 1418 by a compromise. Eric of Pomerania succeeded Margaret in 1412 and sought to expand into Schleswig and Holstein levying tolls at

1980-488: The Gambling Commission . The act gives its objectives as Some provisions of the bill faced controversy, particularly in its original form, where it would have allowed eight so-called " super casinos " to be set up. With the parliamentary session drawing to a close, a compromise was agreed to reduce this to one. Despite a lengthy bidding process, with Manchester being chosen as the single planned location,

2079-605: The Griffin dukes of Pomerania were in constant conflict over control of the Pomeranian Hanseatic towns. While not successful at first, Bogislav X eventually subjugated Stettin and Köslin , curtailing the region's economy and independence. A major Hansa economic advantage was its control of the shipbuilding market, mainly in Lübeck and Danzig. The League sold ships throughout Europe. The economic crises of

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2178-880: The Kingdom of Poland , (from 1466 to 1569 referred to as Royal Prussia , region of Poland) by the Second Peace of Thorn . Poland in turn was heavily supported by the Holy Roman Empire through family connections and by military assistance under the Habsburgs . Kraków , then the Polish capital, had a loose association with the Hansa. The lack of customs borders on the River Vistula after 1466 helped to gradually increase Polish grain exports, transported down

2277-513: The Kontor of Bruges , became significant enclaves . The London Kontor , the Steelyard , stood west of London Bridge near Upper Thames Street , on the site later occupied by Cannon Street station . It grew into a walled community with its warehouses, weigh house , church, offices, and homes. In addition to the major Kontors , individual ports with Hanseatic trading outposts or factories had

2376-751: The North and Baltic Seas . It established a network of trading posts in numerous towns and cities, notably the Kontors in London (known as the Steelyard ), Bruges , Bergen , and Novgorod , which became extraterritorial entities that enjoyed considerable legal autonomy. Hanseatic merchants, commonly referred to as Hansards, operated private companies and were known for their access to commodities, and enjoyed privileges and protections abroad. The League's economic power enabled it to impose blockades and even wage war against kingdoms and principalities. Even at its peak,

2475-521: The Peterhof from 1443 to 1448. After extended conflicts with the League from the 1370s, English traders gained trade privileges in the Prussian region via the treaties of Marienburg (the first in 1388, the last in 1409). Their influence increased, while the importance of Hanseatic trade in England decreased over the 15th century. Over the 15th century, tensions between the Prussian region and

2574-774: The Scania Market ; Cologne joined them in the Diet of 1260. The towns raised their armies, with each guild required to provide levies when needed. The Hanseatic cities aided one another, and commercial ships often served to carry soldiers and their arms. The network of alliances grew to include a flexible roster of 70 to 170 cities. In the West, cities of the Rhineland such as Cologne enjoyed trading privileges in Flanders and England. In 1266, King Henry III of England granted

2673-578: The United States in the 1940s, through several United States Supreme Court rulings. The first ruling on insurance had taken place in 1868 (in the Paul v. Virginia ruling), with the Supreme Court ruling that insurance policy contracts were not in themselves commercial contracts and that insurance was not subject to federal regulation. This "judicial accident", as it has been called, influenced

2772-457: The Vistula , from 10,000 short tons (9,100 t) per year, in the late 15th century, to over 200,000 short tons (180,000 t) in the 17th century. The Hansa-dominated maritime grain trade made Poland one of the main areas of its activity, helping Danzig to become the Hansa's largest city. Polish kings soon began to reduce the towns' political freedoms. Beginning in the mid-15th century,

2871-837: The Yorkist side during the Wars of the Roses of 1455–1487. Tsar Ivan III of Russia closed the Hanseatic Kontor at Novgorod in 1494 and deported its merchants to Moscow, in an attempt to reduce Hanseatic influence on Russian trade. At the time, only 49 traders were at the Peterhof. The fur trade was redirected to Leipzig, taking out the Hansards; while the Hanseatic trade with Russia moved to Riga, Reval, and Pleskau. When

2970-664: The "Wendish" cities (Lübeck and its eastern neighbours) increased. Lübeck was dependent on its role as center of the Hansa; Prussia's main interest, on the other hand, was the export of bulk products such as grain and timber to England, the Low Countries and later on Spain and Italy. Frederick II, Elector of Brandenburg , tried to assert authority over the Hanseatic towns Berlin and Cölln in 1442 and blocked all Brandenburg towns from participating in Hanseatic diets. For some Brandenburg towns, this ended their Hanseatic involvement. In 1488, John Cicero, Elector of Brandenburg did

3069-553: The 1380s, the League regained its trade privileges in 1392, agreeing to Russian trade privileges for Livonia and Gotland. In 1424, all German traders of the Petershof kontor in Novgorod were imprisoned and 36 of them died. Although rare, arrests and seizures in Novgorod were particularly violent. In response, and due to the ongoing war between Novgorod and the Livonian Order , the League blockaded Novgorod and abandoned

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3168-519: The 15th century, the League became further institutionalized. This was in part a response to challenges in governance and competition with rivals, but also reflected changes in trade. A slow shift occurred from loose participation to formal recognition/revocation. Another general trend was Hanseatic cities' increased legislation of their kontors abroad. Only the Bergen kontor grew more independent in this period. In Novgorod, after extended conflict since

3267-582: The 19th century membership of Lloyd's was regulated and in 1871, the Lloyd's Act was passed, establishing the corporation of Lloyd's to act as a market place for members, or "Names". And in the early part of the twentieth century, the collective body of general insurance law was codified in 1904 into the Marine Insurance Act 1906 , with the result that, since that date, marine and non-marine insurance law have diverged, although fundamentally based on

3366-466: The Actuaries Act was passed by parliament to give the profession statutory status on par with Chartered Accountants, Notaries, Cost & Works Accountants, Advocates, Architects and Company Secretaries. A minimum capital of US$ 80 million( ₹ 400 Crore) is required by legislation to set up an insurance business. As a preliminary matter, insurance companies are generally required to follow all of

3465-651: The Baltic. Although the blockade of the grain trade hurt Holland and Zeeland more than Hanseatic cities, it was against Prussian interest to maintain it. In 1454, the year of the marriage of Elisabeth of Austria to King-Grand Duke Casimir IV Jagiellon of Poland-Lithuania , the towns of the Prussian Confederation rose up against the dominance of the Teutonic Order and asked Casimir IV for help. Gdańsk (Danzig), Thorn and Elbing became part of

3564-713: The Carpathians were another important source of copper and iron, often sold in Thorn . Lubeck had a vital role in the salt trade; salt was acquired in Lüneburg or shipped from France and Portugal and sold on Central European markets, taken to Scania to salt herring, or exported to Russia. Stockfish was traded from Bergen in exchange for grain; Hanseatic grain inflows allowed more permanent settlements further north in Norway. The league also traded beer, with beer from Hanseatic towns

3663-507: The Danish dominion, as had Hamburg in 1189. Also in this period Wismar, Rostock, Stralsund, and Danzig received city charters. Hansa societies worked to remove trade restrictions for their members. The earliest documentary mention (although without a name) of a specific German commercial federation dates between 1173 and 1175 (commonly misdated to 1157) in London. That year, the merchants of

3762-657: The Department of Insurance, or some similar name, and the head official is the Insurance Commissioner, or a similar titled officer. The agency then creates a group of administrative regulations to govern insurance companies that are domiciled in, or do business in the state. In the United States regulation of insurance companies is almost exclusively conducted by the several states and their insurance departments. The federal government has explicitly exempted insurance from federal regulation in most cases. In

3861-695: The European Treaty (according to which any legal or natural person who is a citizen of a Union member state is free to establish him-, her- or itself, or to provide services, anywhere within the European Union), an insurer licensed in and regulated by e.g. the United Kingdom's financial services regulators, the Prudential Regulation Authority and the Financial Conduct Authority , may establish

3960-622: The Gambling Commission, define and in some cases redefine, categories of gaming machines and where they are allowed to be placed. From 1 December 2014, the Gambling (Licensing & Advertising) Act 2014 contributed several updates to the Act, including a requirement that all off-shore gambling brands apply for a licence from the Gambling Commission and submit to a 15% point of consumption (POC) tax on gross profits. On 8 December 2020,

4059-611: The German and Scandinavian coasts, making it the best-lighted coast in the world, largely thanks to the Hansa. The weakening of imperial power and imperial protection under the late Hohenstaufen dynasty forced the League to institutionalize a cooperating network of cities with a fluid structure, called the Städtehanse , but it never became a formal organization and the Kaufmannshanse continued to exist. This development

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4158-512: The Hansa in Cologne convinced King Henry II of England to exempt them from all tolls in London and to grant protection to merchants and goods throughout England. German colonists in the 12th and 13th centuries settled in numerous cities on and near the east Baltic coast, such as Elbing ( Elbląg ), Thorn ( Toruń ), Reval ( Tallinn ), Riga , and Dorpat ( Tartu ), all of which joined the League, and some of which retain Hansa buildings and bear

4257-587: The Hanseatic League remained a loosely aligned confederation of city-states . It lacked a permanent administrative body, a treasury, and a standing military force. In the 14th century, the Hanseatic League instated an irregular negotiating diet that operated based on deliberation and consensus . By the mid-16th century, these weak connections left the Hanseatic League vulnerable, and it gradually unraveled as members merged into other realms or departed, ultimately disintegrating in 1669. The League used

4356-603: The Hanseatic network of merchant guilds. The dominant language of trade was Middle Low German , which had a significant impact on the languages spoken in the area, particularly the larger Scandinavian languages , Estonian , and Latvian . Visby , on the island of Gotland, functioned as the leading center in the Baltic before the Hansa. Sailing east, Visby merchants established a trading post at Novgorod called Gutagard (also known as Gotenhof ) in 1080. In 1120, Gotland gained autonomy from Sweden and admitted traders from its southern and western regions. Thereafter, under

4455-463: The League as the combination of a north German trading system oriented on the Baltic and a Rhinelandic trading system targeting England and Flanders. German cities speedily dominated trade in the Baltic during the 13th century, and Lübeck became a central node in the seaborne trade that linked the areas around the North and Baltic seas . Lübeck hegemony peaked during the 15th century. Well before

4554-585: The League expanded between the 13th and 15th centuries and ultimately encompassed nearly 200 settlements across eight modern-day countries, ranging from Estonia in the north and east, to the Netherlands in the west, and extended inland as far as Cologne , the Prussian regions and Kraków , Poland . The League began as a collection of loosely associated groups of German traders and towns aiming to expand their commercial interests, including protection against robbery. Over time, these arrangements evolved into

4653-592: The League's power and tried to diminish it. For example, in London, local merchants exerted continuing pressure for the revocation of privileges. Most foreign cities confined Hanseatic traders to specific trading areas and their trading posts. The refusal of the Hansa to offer reciprocal arrangements to their counterparts exacerbated the tension. League merchants used their economic power to pressure cities and rulers. They called embargoes, redirected trade away from towns, and boycotted entire countries. Blockades were erected against Novgorod in 1268 and 1277/1278. Bruges

4752-451: The League, including Holland and Zeeland. The treaty marked the height of Hanseatic influence; for this period the League was called a "Northern European great power ". The Confederation lasted until 1385, while the Øresund fortresses were returned to Denmark that year. After Valdemar's heir Olav died, a succession dispute erupted over Denmark and Norway between Albert of Mecklenburg, King of Sweden and Margaret I, Queen of Denmark . This

4851-404: The League, offering traders toll privileges and protection on affiliated territory and trade routes. Economic interdependence and familial connections among merchant families led to deeper political integration and the reduction of trade barriers. This gradual process involved standardizing trade regulations among Hanseatic Cities. During its time, the Hanseatic League dominated maritime trade in

4950-514: The League. Over the 13th century, older and wealthier long-distance traders increasingly chose to settle in their hometowns as trade leaders, transitioning from their previous roles as landowners. The growing number of settled merchants afforded long-distance traders greater influence over town policies. Coupled with an increased presence in the ministerial class , this elevated the status of merchants and enabled them to expand to and assert dominance over more cities. This decentralized arrangement

5049-783: The Lübeck and Hamburg Hansa a charter for operations in England , initially causing competition with the Westphalians. But the Cologne Hansa and the Wendish Hansa joined in 1282 to form the Hanseatic colony in London, although they didn't completely merge until the 15th century. Novgorod was blockaded in 1268 and 1277/1278. Nonetheless, Westphalian traders continued to dominate trade in London and also Ipswich and Colchester , while Baltic and Wendish traders concentrated between King's Lynn and Newcastle upon Tyne . Much of

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5148-450: The Peterhof reopened in 1514, Novgorod was no longer a trade hub. In the same period, the burghers of Bergen tried to develop an independent intermediate trade with the northern population, against the Hansards' obstruction. The League's mere existence and its privileges and monopolies created economic and social tensions that often spilled onto rivalries between League members. Gambling Act 2005 The Gambling Act 2005 (c. 19)

5247-400: The burden of proof on the insured - often in the case where the claim is unprovable. Other issues of insurance law may arise when price fixing occurs between insurers, creating an unfair competitive environment for consumers. A notable example of this is where Zurich Financial Services - along with several other insurers - inflated policy prices in an anti-competitive fashion. If an insurer

5346-535: The business of insurance is typically aimed at assuring the solvency of insurance companies. Thus, this type of regulation governs capitalization, reserve policies, rates and various other "back office" processes. Member States of the European Union each have their own insurance regulators. However, the E.U. regulation sets a harmonised prudential regime throughout the whole Union. As they are submitted to harmonised prudential regulation and in consistency with

5445-501: The case that an insurer declares bankruptcy , many countries operate independent services and regulation to ensure as little financial hardship is incurred as possible ( National Association of Insurance Commissioners operates such a service in the United States ). In the United States and other relatively highly regulated jurisdictions, the scope of regulation extends beyond the prudential oversight of insurance companies and their capital adequacy, and include such matters as ensuring that

5544-439: The common-law jurisdictions. Mansfield drew from "foreign authorities" and "intelligent merchants" "Those leading principles which may be considered the common law of the sea, and the common law of merchants, which he found prevailing across the commercial world, and to which every question of insurance was easily referrable. Hence the great celebrity of his judgments, and hence the respect they command in foreign countries". By

5643-465: The cottage industry occurred in other fields, e.g. etching, wood carving, armor production, engraving of metals, and wood-turning . The league primarily traded beeswax, furs, timber, resin (or tar), flax, honey, wheat, and rye from the east to Flanders and England with cloth, in particular broadcloth , (and, increasingly, manufactured goods ) going in the other direction. Metal ore (principally copper and iron) and herring came south from Sweden, while

5742-496: The country were merged into one entity, the Life Insurance Corporation of India . The General Insurance Business Act of 1972 was enacted to nationalise the about 100 general insurance companies then and subsequently merging them into four companies. All the companies were amalgamated into National Insurance, New India Assurance, Oriental Insurance and United India Insurance, which were headquartered in each of

5841-506: The development of state-level insurance regulation. This stance did not change until 1944 (in the United States v. South-Eastern Underwriters Association ruling ), when the Supreme Court upheld a ruling stating that policies were commercial, and thus were regulatable as other similar contracts were. In the United States each state typically has a statute creating an administrative agency. These state agencies are typically called

5940-573: The development was cancelled soon after Gordon Brown became Prime Minister of the United Kingdom . The act also specifically regulates Internet gambling for the first time. One of the biggest changes was the removal of the "debt of honour" exemption which stopped people from taking legal action over unpaid winnings (which had been law since the Gaming Act 1845 ). Under the 2005 act's section 335 "Enforceability of gambling contracts", punters were now able to take legal action over unpaid winnings in

6039-409: The doctrine as it has been interpreted in England, is that the prospective insured must accurately disclose to the insurer everything that he knows and that is or would be material to the reasonable insurer. Something is material if it would influence a prudent insurer in determining whether to write a risk and, if so, upon what terms. If the insurer is not told everything material about the risk, or if

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6138-421: The drive for cooperation came from the fragmented nature of existing territorial governments, which did not provide security for trade. Over the next 50 years, the merchant Hansa solidified with formal agreements for co-operation covering the west and east trade routes . Cities from the east modern-day Low Countries, but also Utrecht, Holland, Zealand, Brabant, Namur, and modern Limburg joined in participation over

6237-403: The extent to which they would share upon the risks entailed by writing their "scratch" or signature upon the documents shown to them. At the same time, eighteenth-century judge William Murray, Lord Mansfield , was developing the substantive law of insurance to an extent where it has largely remained unchanged to the present day - at least insofar as concerns commercial, non-consumer business - in

6336-610: The four metropolitan cities. Until 1999, there were no private insurance companies in India. The government then introduced the Insurance Regulatory and Development Authority Act in 1999, thereby de-regulating the insurance sector and allowing private companies. Furthermore, foreign investment was also allowed and capped at 26% holding in the Indian insurance companies. In 2015 the limit of FDI in insurance sector has been raised to 49% subject to certain conditions. In 2006,

6435-469: The insured a genuine loss, whether the insurable interest doctrine is relied upon, or whether, as in common law systems, the courts rely upon the principle of indemnity to hold that an insured may not recover more than his true loss. The doctrine of uberrimae fides - utmost good faith - is present in the insurance law of all common law systems. An insurance contract is a contract of the utmost good faith. The most important expression of that principle, under

6534-474: The late 15th century did not spare the Hansa. Nevertheless, its eventual rivals emerged in the form of territorial states . New vehicles of credit were imported from Italy. When Flanders and Holland became part of the Duchy of Burgundy , Burgund Dutch and Prussian cities increasingly excluded Lübeck from their grain trade in the 15th and 16th century. Burgund Dutch demand for Prussian and Livonian grain grew in

6633-504: The late 15th century onwards. Nuremberg in Franconia developed an overland route to sell formerly Hansa-monopolised products from Frankfurt via Nuremberg and Leipzig to Poland and Russia, trading Flemish cloth and French wine in exchange for grain and furs from the east. The Hansa profited from the Nuremberg trade by allowing Nurembergers to settle in Hanseatic towns, which the Franconians exploited by taking over trade with Sweden as well. The Nuremberger merchant Albrecht Moldenhauer

6732-417: The late 15th century. These trade interests differed from Wendish interests, threatening political unity, but also showed a trade where the Hanseatic system was impractical. Hollandish freight costs were much lower than the Hansa's, and the Hansa were excluded as middlemen. After naval wars between Burgundy and the Hanseatic fleets, Amsterdam gained the position of leading port for Polish and Baltic grain from

6831-630: The most valued, and Wendish cities like Lübeck, Hamburg, Wismar, and Rostock developed export breweries for hopped beer. The Hanseatic League, at first the merchant hansas and eventually its cities, relied on power to secure protection and gain and preserve privileges. Bandits and pirates were persistent problems; during wars, these could be joined by privateers . Traders could be arrested abroad and their goods could be confiscated. The league sought to codify protection; internal treaties established mutual defense and external treaties codified privileges. Many locals, merchant and noble alike, envied

6930-419: The particular jurisdiction in or into which cover is provided is one that prohibits the provision of insurance cover or the doing of insurance business without a licence. Hanseatic league The Hanseatic League was a medieval commercial and defensive network of merchant guilds and market towns in Central and Northern Europe. Growing from a few North German towns in the late 12th century,

7029-403: The policy holder is protected against bad faith claims on the insurer's part, that premiums are not unduly high (or fixed), and that contracts and policies issued meet a minimum standard. A bad faith action may constitute several possibilities; the insurer denies a claim that seems valid in the contract or policy, the insurer refuses to pay out for an unreasonable amount of time, the insurer lays

7128-512: The practice, in the seventeenth and eighteenth centuries, of taking out life policies upon the lives of strangers. The requirement for insurable interest was removed in non-marine English law, possibly inadvertently, by the provisions of the Gambling Act 2005 . It remains a requirement in marine insurance law and other common law systems, however; and few systems of law will allow an insured to recover in respect of an event that has not caused

7227-402: The previous decisions of courts of the same or higher status. In the insurance law context, this meant that the decisions of early commercial judges such as Mansfield, Lord Eldon and Buller bound, or, outside England and Wales, were at the least highly persuasive to, their successors considering similar questions of law. At common law, the defining concept of a contract of commercial insurance

7326-420: The protection of the vulnerable, rather than as a device to encourage entrepreneurialism through the spreading of risk. Civil law jurisdictions - in very general terms - tend to regulate the content of the insurance agreement more closely, and more in the favour of the insured, than in common law jurisdictions, where the insurer is rather better protected from the possibility that the risk for which it has accepted

7425-489: The provision of insurance in different ways. Some regulate all insurance activity taking place within the particular jurisdiction, but allow their citizens to purchase insurance "offshore". Others restrict the extent to which their citizens may contract with non-locally regulated insurers. In consequence, a complicated muddle has developed in which many international insurers provide insurance coverage on an unlicensed or "non-admitted" basis with little or no knowledge of whether

7524-545: The recesses; representatives would sometimes leave the Diet prematurely to give their towns an excuse not to ratify decisions. Only a few Hanseatic cities were free imperial cities or enjoyed comparable autonomy and liberties, but many temporarily escaped domination by local nobility. Between 1361 and 1370, League members fought against Denmark in the Danish-Hanseatic War . Though initially unsuccessful with

7623-405: The same laws and regulations as any other type of business. This would include zoning and land use, wage and hour laws, tax laws, and securities regulations. There are also other regulations that insurers must also follow. Regulation of insurance companies is generally applied at State level and the degree of regulation varies markedly between States. Regulation of the insurance industry began in

7722-487: The same original principles. Common law jurisdictions in former members of the British empire, including the United States, Canada, India, South Africa, and Australia ultimately originate with the law of England and Wales. What distinguishes common law jurisdictions from their civil law counterparts is the concept of judge-made law and the principle of stare decisis - the idea, at its simplest, that courts are bound by

7821-491: The same to Stendal and Salzwedel in the Altmark . Until 1394, Holland and Zeeland actively participated in the Hansa, but in 1395, their feudal obligations to Albert I, Duke of Bavaria prevented further cooperation. Consequently, their Hanseatic ties weakened, and their economic focus shifted. Between 1417 and 1432, this economic reorientation became even more pronounced as Holland and Zeeland gradually became part of

7920-457: The sea and many were linked to partners by river trade or even land trade. These formed an integrated network, while many smaller Hanseatic towns had their main trading activity in subregional trade. Internal Hanseatic trade was the Hanse's quantitatively largest and most important business. Trade over rivers and land was not tied to specific Hanseatic privileges, but seaports such as Bremen , Hamburg and Riga dominated trade on their rivers. This

8019-515: The style of their Hanseatic days. Most adopted Lübeck law , after the league's most prominent town. The law provided that they appeal in all legal matters to Lübeck's city council. Others, like Danzig from 1295 onwards, had Magdeburg law or its derivative, Culm law . Later, the Livonian Confederation of 1435 to c.  1582 incorporated modern-day Estonia and parts of Latvia ; all of its major towns were members of

8118-575: The subject matter of the insurance. An insurable interest is that legal or equitable relationship between the insured and the subject matter of the insurance, separate from the existence of the insurance relationship, by which the insured would be prejudiced by the occurrence of the event insured against, or conversely would take a benefit from its non-occurrence. Insurable interest was long held to be morally necessary in insurance contracts to distinguish them, as enforceable contracts, from unenforceable gambling agreements (binding "in honour" only) and to quell

8217-548: The term Hanse appeared in a document in 1267, in different cities began to form guilds , or hansas , with the intention of trading with overseas towns, especially in the economically less-developed eastern Baltic. This area could supply timber, wax , amber , resins , and furs, along with rye and wheat brought on barges from the hinterland to port markets. Merchant guilds formed in hometowns and destination ports as medieval corporations ( universitates mercatorum ), and despite competition increasingly cooperated to coalesce into

8316-527: The thirteenth century. This network of Hanseatic trading guilds became called the Kaufmannshanse in historiography. The League succeeded in establishing additional Kontors in Bruges ( Flanders ), Bryggen in Bergen (Norway), and London (England) beside the Peterhof in Novgorod. These trading posts were institutionalised by the first half of the 14th century (for Bergen and Bruges) and, except for

8415-524: The traders' hometowns. Outposts in Lisbon , Bordeaux , Bourgneuf , La Rochelle and Nantes offered the cheaper Bay salt. Ships that plied this trade sailed in the salt fleet . Trading posts operated in Flanders, Denmark-Norway, the Baltic interior, Upper Germany, Iceland, and Venice. Hanseatic trade was not exclusively maritime, or even over water. Most Hanseatic towns did not have immediate access to

8514-413: The underwriter can ever achieve. Central to English commercial insurance decisions, therefore, are the linked principles that the underwriter is bound to the terms of his policy; and that the risk is as it has been described to him, and that nothing material to his decision to insure it has been concealed or misrepresented to him. In civil law countries, insurance has typically been more closely linked to

8613-619: The Øresund toll, which caused tensions with Holland and Zeeland . The Sound tolls, and a later attempt of Lübeck to exclude the English and Dutch merchants from Scania harmed the Scanian herring trade when the excluded regions began to develop their own herring industries. In the Dutch–Hanseatic War (1438–1441), a privateer war mostly waged by Wendish towns, the merchants of Amsterdam sought and eventually won free access to

8712-548: The Øresund. Hanseatic cities were divided initially; Lübeck tried to appease Eric while Hamburg supported the Schauenburg counts against him. This led to the Danish-Hanseatic War (1426-1435) and the Bombardment of Copenhagen (1428). The Treaty of Vordingborg renewed the League's commercial privileges in 1435, but the Øresund tolls continued. Eric of Pomerania was subsequently deposed and in 1438 Lübeck took control of

8811-482: Was a major Rus trade centre . Scandinavians led the Baltic trade before the League, establishing major trading hubs at Birka , Haithabu , and Schleswig by the 9th century CE. The later Hanseatic ports between Mecklenburg and Königsberg (present-day Kaliningrad ) originally formed part of the Scandinavian-led Baltic trade system. The Hanseatic League was never formally founded, so it lacks

8910-522: Was also called Stalhof), Bristol , Bishop's Lynn (later King's Lynn , which featured the sole remaining Hanseatic warehouse in England), Hull , Ipswich , Newcastle upon Tyne , Norwich , Scarborough , Yarmouth (now Great Yarmouth ), and York , many of which were important for the Baltic trade and became centers of the textile industry in the late 14th century. Hansards and textile manufacturers coordinated to make fabrics meet local demand and fashion in

9009-528: Was applied to bands of merchants traveling between the Hanseatic cities. Hanse in Middle Low German came to mean a society of merchants or a trader guild. Claims that it originally meant An-See , or "on the sea", are incorrect. Exploratory trading ventures, raids, and piracy occurred throughout the Baltic Sea. The sailors of Gotland sailed up rivers as far away as Novgorod , which

9108-492: Was delayed by the conquest of Wendish cities by the Danish king Eric VI Menved or by their feudal overlords between 1306 and 1319 and the restriction of their autonomy. Assemblies of the Hanse towns met irregularly in Lübeck for a Hansetag  [ de ] (Hanseatic Diet) – starting either around 1300, or possibly 1356. Many towns chose not to attend nor to send representatives, and decisions were not binding on individual cities if their delegates were not included in

9207-468: Was fostered by slow travel speeds: moving from Reval to Lübeck took between 4 weeks and, in winter, 4 months. In 1241, Lübeck, which had access to the Baltic and North seas' fishing grounds, formed an alliance—a precursor to the League—with the trade city of Hamburg, which controlled access to the salt-trade routes from Lüneburg . These cities gained control over most of the salt-fish trade, especially

9306-399: Was further complicated when Swedish nobles rebelled against Albert and invited Margaret. Albert was taken prisoner in 1389, but hired privateers in 1392, the socalled Victual Brothers , who took Bornholm and Visby in his name. They and their descendants threatened maritime trade between 1392 and the 1430s. Under the 1395 release agreement for Albert, Stockholm was ruled from 1395 to 1398 by

9405-457: Was influential in developing the trade with Sweden and Norway, and his sons Wolf and Burghard Moldenhauer established themselves in Bergen and Stockholm, becoming leaders of the local Hanseatic activities. King Edward IV of England reconfirmed the league's privileges in the Treaty of Utrecht despite the latent hostility, in part thanks to the significant financial contribution the League made to

9504-495: Was intrinsically coupled with the expansion of mercantilism, and the exploration (and exploitation) of new sources of gold, silver, spices, furs, and other precious goods - including slaves - from the New World. For these merchant adventurers, insurance was the "means whereof it comes to pass that upon the loss or perishing of any ship there followed not the undoing of any man, but the loss lighteth rather easily upon many than upon

9603-600: Was more attractive than Schleswig . It became a transshipment port for trade between the North Sea and the Baltics. Lübeck also granted extensive trade privileges to Russian and Scandinavian traders. It was the main supply port for the Northern Crusades , improving its standing with various Popes. Lübeck gained imperial privileges to become a free imperial city in 1226, under Valdemar II of Denmark during

9702-592: Was not possible for the Rhine where trade retained an open character. Digging canals for trade was uncommon, although the Stecknitz Canal was built between Lübeck and Lauenburg from 1391 to 1398. Starting with trade in coarse woolen fabrics, the Hanseatic League increased both commerce and industry in northern Germany. As trade increased, finer woolen and linen fabrics, and even silks, were manufactured in northern Germany. The same refinement of products out of

9801-903: Was pressured by temporarily moving the Hanseatic emporium to Aardenburg from 1280 to 1282, from 1307 or 1308 to 1310 and in 1350, to Dordt in 1358 and 1388, and to Antwerp in 1436. Boycotts against Norway in 1284 and Flanders in 1358 nearly caused famines. They sometimes resorted to military action. Several Hanseatic cities maintained their warships and in times of need, repurposed merchant ships. Military action against political powers often involved an ad hoc coalition of stakeholders, called an alliance ( tohopesate ). As an essential part of protecting their investments, League members trained pilots and erected lighthouses, including Kõpu Lighthouse . Lübeck erected in 1202 what may be northern Europe's first proper lighthouse in Falsterbo . By 1600 at least 15 lighthouses had been erected along

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