Law and History Review


The First Liability Insurance Cartel in America, 1896–1906

Sachin S. Pandya c1

This article studies the rise and fall of the first liability insurance cartel in the United States. In 1886, insurance companies in America began selling liability insurance for personal injury accidents, primarily to cover business tort liability for employee accidents at work and non-employee injuries occasioned by their business operations. In 1896, the leading liability insurers agreed to fix premium rates and share information on policyholder losses. In 1906, this cartel fell apart.

(Online publication May 09 2011)

Sachin S. Pandya is associate professor of law at University of Connecticut School of Law, <>. For comments on earlier drafts of this article, the author thanks Peter Siegelman, four anonymous reviewers, and participants at the 2009 meeting of the American Society for Legal History.