Life expectations: Charles Dickens life was valued at £300K

From literary royalty to actual royalty and a pioneering British journalist, Zurich Insurance is today, for the first time, making available online the life policies of some very famous figures from 19th century Britain.

The records from Zurich’s archives (1) have been released to mark its centenary in the UK.

Among life policies that have survived are those of Charles Dickens, Queen Victoria’s mother, the Duchess of Kent and Alfred, Duke of Edinburgh (Queen Victoria’s son). Also in the records was a policy for William Thomas Stead, a well-known British newspaper editor, who died when the Titanic sank.

Charles Dickens

Dickens signed a life policy with Eagle Insurance on 19 November 1841. At the time he would have been 29 years old and living at 1 Devonshire Terrace in London. His life cover was set at £5000, which today equates to around £300,000 (2) - a sum that in 2022 would only buy half a house in London (3).

On taking out the policy, Dickens confirmed he was not afflicted by health conditions such as Dropsy, Consumption, Gout, Fits, Haemorrhage and Rupture. An accompanying policy questionnaire, which appears to have been authored by Dickens’s close friend, actor, William Charles Macready, who’d known Dickens for “four to five years” clarified that the author was indeed in “very good” health and declared him to be “perfectly” sober and temperate.

More insight into Dickens’s insurance policy comes from an article written by the Dickens scholar William J Carlton (4). Here it is reported Dickens was previously denied a life insurance policy by Sun Life Society, as on the “October 8th, 1841, Dickens underwent a severe if successful operation for fistula.”

It goes on to report “six weeks later, and less than two months before he set out on his first voyage to America, he took out a life insurance policy for £5,000 with Eagle Insurance, whose actuary Henry Potter Smith became one of his firmest friends and was godfather to his son Sydney Smith Haldimand Dickens.” Later the article cites “The Eagle insurance remained in force until the novelist’s death and in October 1870 the Company paid £6,337 7s. 1d. to the beneficiaries. The cause of death was certified as apoplexy.”

• Charles Dickens Life insurance sponsor form
• Charles Dickens Life policy

Dr Emily Dunbar, Curator, Charles Dickens Museum said:

“This intriguing document gives a fascinating insight into Charles Dickens’s health, just before he underwent his first visit to America in 1842. The completed sponsorship form by William Charles Macready, further testifies to the men’s close friendship, particularly as Macready promised to keep an eye on Charles and Catherine’s children while they were abroad.”

Tim Bailey, Chief Executive Officer at Zurich UK said:

“To celebrate 100 years in the UK, we are sharing these fascinating finds from our archive for the first time. Our UK operation started with just one member of staff who opened the first office in the City of London in May 1922. Fast forward 100 years and we now employ 4,500 people across the UK. Although the risks we face today are vastly different to those of a century ago, the role of insurance is the same: helping individuals and businesses to protect what matters to them.”

Queen Victoria’s mother, the Duchess of Kent

In an Albion Fire and Insurance Company life policy dated 12 February 1828, HRH Marie Louise Victoire, Duchess of Kent insured her life for £3,700 (approximately £250,000). For this, the Duchess’s annual premium was a significant £136, 11 shillings and eight pence or in today’s money, around £9,000. The Duchess, who was a German princess and mother to Queen Victoria, died in 1861 aged 74 years, with her daughter by her side. The policy documentation also contains a handwritten note by the sole executor, authorising the payment of £3,700 to a Mr Edward White, following the Duchess’s death.

• The Duchess of Kent Life insurance policy
• The Duchess of Kent policy execution

Alfred - HRH, The Duke of Edinburgh

A policy dated 5 May 1876, insured the life of Queen Victoria’s son, Alfred - HRH The Duke of Edinburgh for a princely sum of £5,000 (circa £330,000). Having joined the Navy aged 14, The Duke of Edinburgh was promoted to the Admiral of the Fleet in June 1893. Given his regular global travel and sea-faring, a criterion of the Duke’s policy was that should he die within 12 months upon signing “by his own hands” it would become null and void. This included: “duelling”, going “upon the seas in a vessel not decked or seaworthy” or proceeding “to Australia or California or to any part of the global south of the equator”. The Duke of Edinburgh died of throat cancer on 30 July 1900 aged 55 and was survived by his mother who died the following year.

• The Duke of Edinburgh Life policy

William Thomas Stead

Born in 1849 William Thomas Stead was a British writer and pioneer of investigative journalism. He became famous for being one of the first people to show how the press could be used to influence government and public opinion. Sadly, Stead’s life was cut short while he was travelling as a first class passenger aboard the Titanic. Stead’s life policy with English & Scottish Life Assurance was dated May 1891, when Stead was 41. His life was insured for £2,000 (circa £164,000), with an annual premium of £84, 13 Shillings and four pence (circa £7,000 today).

• William Thomas Stead Life policy

Life insurance in 2022

Today, the average life sum assured is £220,000, with a life only policy premium averaging £336 per year (5). This cost is a markedly less compared to the 19th century when life insurance was very expensive. Premiums have reduced as life expectancy has increased.

To secure life cover today, insurers may also delve deeper into an individual’s alcohol and drug use, as well as ask about pre-existing conditions such as cancer and heart-related problems. Today’s policyholders may also have additional benefits as part of their plans – such as access to counselling services and remote doctors.

Louise Colley, Director of Retail Protection at Zurich UK comments:

“Life insurance is as important today as it was in the 19th century. However, whilst doing the same job of offering financial protection should the worst happen, medical advances and changes to how we live and work, means life policies in 2022 are very different.

“Life insurance is more commonplace today, with the financial implications of a loss of life becoming increasingly costly. It is more affordable and accessible, with premiums going down as life expectancy has gone up. Now, with the addition of income protection and critical illness cover too, individuals also have more choice when it comes to protecting themselves and their families.”

Key milestones in Zurich UK’s history

1922 - While most competitors concentrate on home markets after World War 1, Zurich continues to expand and enters the UK general insurance market – the first foreign insurance company to write direct accident business: In May, the first Zurich UK office opened in numbers 1 and 2 Poultry and in October the first policy (number 1001) was issued to Mr Arthur R. W. Scott.

1955 - Zurich becomes a one-stop shop wholesale insurer, changing its name from Zurich General Accident & Liability Insurance Company to Zurich Insurance Company.

1973 - The Zurich Community Trust is founded as Zurich UK’s charitable arm.

1993 - Zurich Municipal is born, protecting the public sector, housing associations, charities and voluntary organisations, and the education sector.

1998 - Zurich combines with the financial services arm of UK-based BAT Industries (including Eagle Star, Allied Dunbar and Threadneedle Asset Management) to become Zurich Financial Services.

2016 - Tulsi Naidu becomes UK Chief Executive Officer and unites the UK Zurich P&C and Life businesses into one Zurich UK.

2021 - Tim Bailey becomes UK Chief Executive Officer.

2022 - Zurich Insurance Group brings forward its target to achieve net-zero emissions in its operations from 2050 to 2030

Notes to editors

• Zurich’s archives are stored at the London Metropolitan Archive and contain records and documentation relating to Eagle Star Insurance Company (which Zurich acquired in 1999), and its predecessors, dating back to the early 19th century. Eagle Star was founded in 1904 by Edward Mortimer Mountain, a Lloyd's broker. In 1984 Eagle Star became part of B.A.T Industries plc and saw diversification into financial services. In 1999 it became part of Zurich Financial Services Group. Eagle Star purchased Eagle (est. 1807), Sceptre (est. 1864) and The Star (est. 1843).
• National Archives currency calculator shows historical equivalent values for 2017. The calculation is intended to be a general guide to historical values, rather than a categorical statement of fact.
• The Halifax House Price Index from April 2022 estimates the average price of a London property is £537,896.
• Article written by Dickens scholar William J Carlton (whose archives are held at the Charles Dickens Museum) entitled DICKENS'S INSURANCE POLICIES, Carlton, W J. , Dickensian; London Vol. 51, (Jan 1, 1955): 133.
• Zurich life insurance policies data.