Answer: a. Class underwriting
Explanation: Class underwriting is a classing system that is used in grouping people into risk management groups. Class Underwriting is also a process employes by an individual, organisation or institution which helps the individual, organisation or institution in taking on financial risk for a fee
Answer:
A. Class underwriting
Explanation:
Underwriting can be defined as a process through which an individual or business institution takes on fimancial risk for a fee.
Class underwriter refers to the individual responsible for underwriting a given class of business within the syndicate structure.
Underwriting class refers to a way of grouping people into different risk groups so that people in a preferred rate class may pay a lower premium than people in a standard class for the same amount of coverage.
Class underwriting is a type of underwriting in which underwriters try to have a proper balance within each risk classification. Much of personal lines underwriting today involves all exposures units with similar loss-producing characteristics being placed in the same category and charged the same rate.
