Insurance companies hire insurance underwriters to do a very important job. Underwriters analyse insurance applications sent by various people and decide whether they are liable for that particular insurance or not. They may also weigh the possibilities of claims before giving the green signal. They aim to protect the insurance companies from frauds and fraudulent claims. So in short, once the insurance broker secures a deal from a client, it is the underwriter who will decide whether the insurance policy should be granted or not.
Insurance companies need people with a great deal of foresight for this kind of job. The underwriter analyses both new and renewed applications and check on the risks involved in each of them. It takes a lot of perseverance, but it is important that the underwriter spend time on them because errors on his part could cause serious repercussions (sometimes amounting to millions of rupees) for the company. Underwriters work in different areas - medical insurance, commercial, corporate, health, life, property, mortgage and casualty.
Underwriters study insurance proposals thoroughly and do many calculations so the company will not be put at any financial risk at any time. He must calculate the price of premiums, gather background information about the applicant, collect medical history, decide how much should be paid out and negotiate the terms with the insurance brokers/policy holders. Underwriters should identify high-risk applicants to avoid any sort of risk for the company. Before accepting or rejecting insurance policies, he must check their credit history and medical records.
• Technically competent about different policies
• Clever at negotiating
• Numerical and Analytic skills
• Good judgement
• Skilled communicator