An insurer is a company or organization that provides insurance policies to individuals or businesses. They are responsible for accepting and managing risk by offering financial protection against potential losses or damages.
The insured refers to the individual or entity that purchases an insurance policy from the insurer. They are seeking protection against specific risks that could result in financial loss, such as damage to property, medical expenses, or liability claims.
Underwriting is the process that insurers use to assess and evaluate potential risks associated with an insurance policy. It involves analyzing various factors such as the applicant's personal information, the type of coverage requested, the likelihood of claims, and the potential costs involved. Underwriting helps insurers determine whether to provide coverage, what terms and conditions should be included in the policy, and how much to charge in premiums.
In summary, insurers provide insurance coverage to individuals or businesses (the insured) to protect against financial loss due to certain risks. Underwriting is the process insurers use to assess and evaluate the risks associated with providing coverage.
Explain the following:insurer,insured,inderwriting
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