Underwriting a risk is done by the insurer. But an agent is an important part of the process. The book talks about agents being able to bind policies in the field, this is becoming less common but agents still play a part. An agent looks for the right risk to match an insurers appetite. They should try look to place policies that the insurer would want to write. Remember an AGENT is an agent of the insurer and has to follow their guidelines. Here are some examples, write yes, no or maybe to answer if the agent is doing the right thing. After your answer, give a brief reason. Also remember, insurance is not always black and white, there's a lot of gray. The insurer wants its agents to write contractors on Long Island but not in the five boroughs of NYC. The agent has a large contractor with great claims experience but does 10% of their work in Manhattan. Should this agent submit this risk? Yes, No or Maybe? The insurer wants its agents to submit large commercial auto risks, they required drivers that have good driving records and claim ratio of less than 40%. The agent has a risk that has 40 trucks, four suspended drivers and poor claims experience? Should the agent submit this risk? The insurer wants its agents to submit large real estate risks with great claims experience and the agent has a large real estate risk that had excellent claims but had one very large loss the past year that was well over 100% claims ratio. Should the agent submit this risk? Underwriting a risk is done by the insurer. But an agent is an important part of the process. The book talks about agents being able to bind policies in the field, this is becoming less common but agents still play a part. An agent looks for the right risk to match an insurers appetite. They should try look to place policies that the insurer would want to write. Remember an AGENT is an agent of the insurer and has to follow their guidelines. Here are some examples, write yes, no or maybe to answer if the agent is doing the right thing. After your answer, give a brief reason. Also remember, insurance is not always black and white, there's a lot of gray. The insurer wants its agents to write contractors on Long Island but not in the five boroughs of NYC. The agent has a large contractor with great claims experience but does 10% of their work in Manhattan. Should this agent submit this risk? Yes, No or Maybe? The insurer wants its agents to submit large commercial auto risks, they required drivers that have good driving records and claim ratio of less than 40%. The agent has a risk that has 40 trucks, four suspended drivers and poor claims experience? Should the agent submit this risk? The insurer wants its agents to submit large real estate risks with great claims experience and the agent has a large real estate risk that had excellent claims but had one very large loss the past year that was well over 100% claims ratio. Should the agent submit this risk
