The first car was invented in 1886. The tricycle-like car may have used gasoline and been able to move at a maximum speed of 10mph, but it sure wasn't covered with car insurance. The first recorded auto insurance policy was sold in 1898 from Travelers Insurance and cost only $12.25.

A sideways approach to innovations as I like to call it.  Insurance in general became key to helping consumers in troubled times.  With vehicles being new to the world and replacing a horse that usually did not crash, insurance became crucial to give consumers a sense of comfort in their "big" purchase which was also a big venture for a consumer at the time.
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