Question

What are the steps involved in the numerical rating method used by underwriters?

a.

Define value of standard risk

b.

Risk assessment for personal, environmental and heredity factors; Assign numerical ratings based on EMR

c.

Credit the favourable factors and debit the unfavourable factors

d.

All of the above

Posted under IC22 Life Insurance Underwriting

Answer: (d).All of the above Explanation:The steps involved in the numerical rating method used by underwriters are: defining the value of standard risk, risk assessment for personal, environmental and heredity factors, assigning numerical ratings based on EMR, and finally, crediting favourable factors and debiting unfavourable factors.

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Q. What are the steps involved in the numerical rating method used by underwriters?
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