Member-only story
What the Titanic meant for the insurance industry
Lloyd’s of London still has its records from the Titanic’s sinking in 1912
110 years on the tragedy of the Titanic still captivates us all. Even before Kate and Leonardo created a version for the silver screen, or its pivot role in Downton Abbey, it was the defining tale of the pre-war years. Nature, utterly unawares, conquering the bravado and invincibility of the industrial world; British stoicism in the face of death, combined with stupidity and hesitation.
While it is long enough ago to not be in any of our memories, Lloyd’s of London’s inimitable record-keeping gives us some wonderful insight into pragmatic aspects of the voyage. Much is still made, often with mirth, that Lloyd’s still uses paper but in 1912 there was clearly no alternative, and the diligent keeping of these records gives us insight into a risk that was insured for over £1m
On these pages on the Lloyd’s website are wonderful details and images related to the event, both the history and what it meant for the insurance industry.
A prestigious risk
Back on 9 January, broker Willis Faber & Co had come to Lloyd’s underwriting room to insure the Titanic and her sister ship, the Olympic, on behalf of the White Star Line.
It was considered a prestigious risk, with cover for the hull alone standing at £1m — around £95m in today’s money. Numerous Lloyd’s syndicates put their names on the slip, covering amounts ranging from £10,000 to £75,000. Willis was able to negotiate a favourable premium for this proudly ‘unsinkable’ vessel of just £7,500.
