The first insurance company in the United States underwrote fire insurance and was formed in Charleston, South Carolina, in 1735. In 1752, Benjamin Franklin helped form a mutual insurance company called the Philadelphia Contributionship, which is the nation's oldest insurance carrier still in operation. Franklin's company was the first to make contributions toward fire prevention. Not only did his company warn against certain fire hazards, it refused to insure certain buildings where the risk of fire was too great, such as all wooden houses. Franklin was also instrumental in getting the first life insurance company, the Presbyterian Ministers' Fund, off the ground.

The various religious authorities at the time were outraged at the practice of putting a value on human life, but criticism cooled when it was seen that insurance worked to protect widows and orphans. The industrial revolution then brought the necessity of both business insurance and disability insurance to the forefront. Throughout history, the types of insurance offered have been expanded in reaction to new risks. 1864 saw the Travelers Insurance Company sell its first accident policy. 1889 saw the first auto insurance policy.

Incorporated in 1828, the Merrimack Mutual Fire Insurance Company was the founding company of The Andover Companies. Policies were sold in Massachusetts, in the towns of Andover, Newbury, Beverly, Methuen, Newburyport, and other surrounding communities. Today, Merrimack Mutual represents over half of the asset base of The Andover Companies.