The Financial Legacy Of Black Women In The Early Insurance Industry

Oftentimes, Black women are not given proper credit for paving the way and breaking down barriers. The contributions of Black women in arenas such as the insurance industry often get glanced over and are never properly documented or acknowledged. This Women’s History Month, we are going to explore the early insurance industry contributions made by Black women, the barriers they overcame, and how the modern industry still models the innovation of the marvelous women of the past.

It is only fitting we start with the first African American woman to own a bank! Born to enslaved parents on July 15, 1864 in Richmond, Virginia. Maggie Lena Walker wore several hats that shaped and molded her to become the foremost female business leader in the United States. Working first as a laundress, then after graduation from college, teaching, and shortly after that, publishing a newspaper. It is clear Maggie was on her way to becoming a huge inspiration to the black community. Her advocacy for women’s rights, work supplying mutual aid and communication tactics for spreading awareness of the need of burial benefits were the pillars Maggie used to encourage financial independence. Maggie Lena Walker is known for her contributions to the financial sector and contributions to the banking industry.

Maggie’s fondness for math and accounting inspired her to open the Penny Savings Bank. By 1924 the bank had acquired more than 50,000 members. After consolidating with two other large banks, the Penny Savings Bank was eventually sold in 2005, ending its status as an independent bank.

During the great depression, while many suffered financially, there are pioneers who found ways to prosper. Minnie Geddings Cox is one of those pioneers. Minnie is responsible for growing the third-largest Black owned insurance company. Taking sole control of the business after the death of her husband, Minnie was determined not to be stopped.

At a time when insurance was considered to be designated for men, as they where providers and women should be taken care of, Minnie grew her agency all while training and recruiting women. Through adversity and disapproval during the Jim Crow era, Minnie succeed.

Working on Black Wall street, we have Viola Mitchell Turner. During a time when women could only work in business as secretaries or clerks, Viola managed to work her way up to Vice President of North Carolina Mutual Life Insurance Company. During her time climbing the ladder, Viola was a victim of racial and gender discrimination. Through self advocacy and protest, Viola eventually received the equal pay she deserved.

Like today, women are often disregarded in sectors such as finance and trading. During Viola’s tenure at the NCML, she researched, planned and executed a strategy to convert the companies assets to profitable stocks and bonds. Viola has set the bar high for not only women, but the entire life insurance industry.

Given credit for starting one of the first African American companies on Wall Street, E.G. Bowman Company, in 1953. Ernesta’s business was the largest minority-owned insurance brokerage in the U.S.. Ernesta’s journey to success was marked by several historical milestones. One of the most memorable is when red lining caused strife for her African American homeowner clients. Almost 100 for her clients lost coverage. Ernesta knew she had to move swiftly. In an effort to prevent her homeowner clients from losing their homes due to not being insured, Earnesta worked with the Governor of New York to support legislation that mandiagted homeowners insurance be available to all people within the state. With that initiative, the New York State FAIR Plan became the model for plans nationwide. The groundwork Ernesta put in back then, resonates to modern day.

The work to spread awareness of the need for financial independence, the advocacy for acquiring financial vehicles to build wealth and the strides in the banking and insurance space was done by Black women building a bridge between the past and modern day. These women placed the bricks that built roads that allow Black Americans to enjoy banking, buy insurance polices and teach others how to do the same.