Question

What is the role of financial underwriting in insurance?

a.

To ensure that the amount of insurance applied for is justified based on the potential economic loss that will be suffered in the event of the individual's death

b.

To determine the medical conditions of the individual for insurance coverage

c.

To determine the age of the individual for insurance coverage

d.

To determine the location of the individual for insurance coverage

Posted under IC22 Life Insurance Underwriting

Answer: (a).To ensure that the amount of insurance applied for is justified based on the potential economic loss that will be suffered in the event of the individual's death Explanation:The role of financial underwriting is to make sure that the amount of insurance applied for by an individual is justified based on the potential economic loss that will be suffered in the event of the individual's death.

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