Question

Why is it important for underwriters to be aware and thorough with reinsurance treaties?

a.

To specify the terms and conditions of an insurance policy

b.

To minimize the financial losses of an insurance company

c.

To ensure that underwriting decisions and guidelines are in alignment with the provisions in the treaty

d.

To outline the coverage and premiums of a particular insurance policy

Posted under IC22 Life Insurance Underwriting

Answer: (c).To ensure that underwriting decisions and guidelines are in alignment with the provisions in the treaty Explanation:It is imperative for the underwriters to be aware and thorough with the reinsurance treaties, so that the underwriting decisions, processes, and guidelines issued are all in alignment with the provisions in the treaty.

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Q. Why is it important for underwriters to be aware and thorough with reinsurance treaties?
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