What does a Insurance Underwriter do?
|Citation||Retrieved in 2017 from BLS.org|
Insurance underwriters are the main connection between an insurance company and an insurance agent. Using computer software programs, they evaluate insurance applications and determine whether an applicant should be approved for a policy, coverage amount, and premiums.
Insurance underwriters analyze a candidate’s risk factors such as medical documents and financial situations. Typically, insurance underwriters specialize in either casualty, life, or health insurance. They normally work in offices full-time.
How to Become an Insurance Underwriter
Insurance underwriters usually need a bachelor’s degree with courses in economics, business, math, and finance. However, candidates that have strong computer skills and a background in insurance-related work may be considered for employment.
Once hired, new hires usually train under an experienced underwriter. Most employers expect an underwriter to take coursework to become certified because of the importance of remaining current in new technology, changes in state and federal regulations, and new insurance policies.
Institutes offer the Charter Property and Casualty Underwriter (CPCU) designation for those with 3 years experience and offer a training program for new underwriters.
Job Description of an Insurance Underwriter
Insurance underwriters determine whether to provide insurance to a candidate and under what terms to include such as coverage amounts and premiums. They must take the information of the candidate and enter it into their computer software program, evaluate the recommendations provided by the program, and make a decision on whether to approve or reject an applicant.
They must determine the client’s risk based on information such as credit score and medical documents. They investigate an applicant further and if necessary contact medical or field representatives for more information that would be relevant to the client.