Which of the Following Statements Regarding Insurance Underwriting Is True

question 9

Multiple Choice

Which of the following statements regarding insurance underwriting is true?

• A) Insurance underwriters perform any activity that reduces the chance that a loss will occur.
• B) Insurance underwriters perform a process used to avoid an act that would create a risk.
• C) Insurance underwriters help insurers determine the insurance needs of the potential insured.
• D) Insurance underwriters lessen the severity of loss after it occurs.
• E) Insurance underwriters design rate-classification schedules so that people pay premiums that reflect their chance of loss.

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Definitions:

Safety

The state of being safeguarded against or not susceptible to harm, danger, or damage.

Culturally Linguistically Diverse

Pertains to groups or individuals from varied cultural backgrounds and with different language proficiencies, highlighting the richness and complexity of a multicultural society.

At-risk

used to describe individuals or groups facing higher probabilities of negative outcomes, such as failure in school or involvement in criminal activities, due to various risk factors.

Disengaged

Family members withdraw from one another, become distant.