UNDERWRITING BRITISH TRADE TO INDIA AND CHINA, 1780–1835

Abstract

ABSTRACTIn the late eighteenth century, European merchants launched corporate insurance bodies in India and China. These new joint-stock companies followed London's mature and efficient institutional systems for marine insurance, and adopted their basis in the European law merchant. They operated alongside local risk transfer facilities, but in both countries were quickly embraced by native merchants, who participated both as customers and shareholders. The rapid development of a corporate insurance sector in India and China, fuelled by the capital of local merchants and members of the European colonial elite, underlines the effectiveness of premium-based marine insurance, while its swift adoption by both local and international merchants shows its importance to the development of trade and empire.