AccountancyISCO 3321

Insurance underwriter

An insurance underwriter is a person who assesses risk and decides whether, and on what terms, an insurer will accept it. The underwriter analyses the information supplied by a prospective client in order to judge how likely that client is to make a claim, works to minimise the risk carried by the insurance company, and sees that the premiums charged correspond to the risks they cover.

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Check yourself in a minute: insurance underwriter

Rate 5 of the 20 essential skills of this occupation (European ESCO data). No account needed.

collect property financial information

review insurance process

create a financial plan

decide on insurance applications

provide support in financial calculation

About insurance underwriter

The decision is the product of the role. An application is accepted, declined, or accepted with conditions, an excess or a loading, and the underwriter has to be able to justify which. Insurance law, the principles of insurance and actuarial science are what turn a judgement into a defensible one.

Commercial risk is assessed on site as well. The underwriter inspects the condition of business premises, examines the control policies a company has in place, and reviews commercial risk.

Specialisation shapes a career here. An underwriter may work in life insurance, health insurance, reinsurance, commercial insurance or mortgage insurance, and the technical knowledge differs sharply between them. The underwriter also develops the insurance policy wording, develops the terms of cooperation with brokers and partners, draws up a financial plan, works from property law and gathers the financial information a decision rests on.

European Skills Framework

Skills and knowledge areas required for this occupation based on European classification.

Essential (20)

insurance lawinsurance lawThe law and legislation concerning the policies of transferring risks or losses from one party, the insured, to another, the insurer, in exchange for a periodic payment. This includes the regulation o...principles of insuranceprinciples of insuranceThe understanding of the principles of insurance, including third party liability, stock and facilities.property lawproperty lawThe law and legislation that regulates all the different ways to handle property, such as the types of property, how to handle property disputes and property contract rules.modern portfolio theorymodern portfolio theoryThe theory of finance that attempts to either maximise the profit of an investment equivalent to the risk taken or to reduce the risk for the expected profit of an investment by judiciously choosing t...business loansbusiness loansLoans which are intended for business purposes and which can either be secured or unsecured depending on whether a collateral is involved. The different types of business loans such as bank loans, mez...actuarial scienceactuarial scienceThe rules of applying mathematical and statistical techniques to determine potential or existing risks in various industries, such as finance or insurance.real estate underwritingreal estate underwritingThe process of evaluating applications for loans in real estate activities in which not only the prospective borrower but also the property being traded in is evaluated in order to assess whether the ...claims proceduresclaims proceduresThe different procedures that are used to formally request a payment for a suffered loss from an insurance company.types of insurancetypes of insuranceThe various types of risk or loss transfer policies that exist and their characteristics, such as health insurance, car insurance or life insurance.collect property financial informationcollect property financial informationCollect information concerning the previous transactions involving the property, such as the prices at which the property had been previously sold and the costs that went into renovations and repairs,...review insurance processreview insurance processAnalyse all documentation related to a specific insurance case in order to ensure that the application for insurance or the claims process was handled according to guidelines and regulations, that the...create a financial plancreate a financial planDevelop a financial plan according to financial and client regulations, including an investor profile, financial advice, and negotiation and transaction plans.decide on insurance applicationsdecide on insurance applicationsAssess applications for an insurance policy, taking into account the risk analyses and client information, in order to deny or approve the application and set in motion the necessary procedures follow...provide support in financial calculationprovide support in financial calculationProvide colleagues, clients or other parties with financial support for complex files or calculations.create cooperation modalitiescreate cooperation modalitiesPrepare, determine and agree on the conditions for cooperation contracts with a company, by comparing products, following evolutions or shifts in the market and negotiating terms and prices.obtain financial informationobtain financial informationGather information on securities, market conditions, governmental regulations and the financial situation, goals and needs of clients or companies.manage financial riskmanage financial riskPredict and manage financial risks, and identify procedures to avoid or minimise their impact.create insurance policiescreate insurance policiesWrite a contract that includes all the necessary data, such as the insured product, the payment to be made, how often the payment is needed, the personal details of the insured and on what conditions ...assess financial viabilityassess financial viabilityRevise and analyse financial information and requirements of projects such as their budget appraisal, expected turnover, and risk assessment for determining the benefits and costs of the project. Asse...analyse financial riskanalyse financial riskIdentify and analyse risks that could impact an organisation or individual financially, such as credit and market risks, and propose solutions to cover against those risks.

Optional (32) — show

financial statementsfinancial statementsThe set of financial records disclosing the financial position of a company at the end of a set period or of the accounting year. The financial statements consisting of five parts which are the statem...real estate marketreal estate marketThe trends concerning the buying, selling, or renting of property, including the land, buildings, and natural resources encompassed within the property; the categories of residential properties and pr...market analysismarket analysisThe field of market analysis and research and its particular research methods.credit control processescredit control processesThe various techniques and procedures applied to ensure that credit is given to the suitable customers and that they pay on time.insurance marketinsurance marketThe trends and major driving factors in the insurance market, insurance methodologies and practices, and the identification of the major stakeholders in the insurance sector.calculate insurance ratecalculate insurance rateGather information on the client's situation and calculate their premium on the basis of various factors such as their age, the place where they live and the value of their house, property and other r...communicate with customerscommunicate with customersRespond to and communicate with customers in the most efficient and appropriate manner to enable them to access the desired products or services, or any other help they may require.explain financial jargonexplain financial jargonExplain all details of financial products in plain words to clients, including financial terms and all costs.analyse insurance needsanalyse insurance needsGather information about the insurance needs of a client, and give information and advice about all possible insurance options.prepare financial auditing reportsprepare financial auditing reportsCompile information on audit findings of financial statements and financial management in order to prepare reports, point out improvement possibilities, and confirm governability.develop investment portfoliodevelop investment portfolioCreate an investment portfolio for a customer that includes an insurance policy or multiple policies to cover specific risks, such as financial risks, assistance, reinsurance, industrial risks or natu...assist in loan applicationsassist in loan applicationsAssist clients with filling out and managing their applications for loans by providing them with practical assistance, such as provision of relevant documentation and instruction on the process, and o...review investment portfoliosreview investment portfoliosMeet with clients to review or update an investment portfolio and provide financial advice on investments.synthesise financial informationsynthesise financial informationCollect, revise and put together financial information coming from different sources or departments in order to create a document with unified financial accounts or plans.interpret financial statementsinterpret financial statementsRead, understand, and interpret the key lines and indicators in financial statements. Extract the most important information from financial statements depending on the needs and integrate this informa...examine credit ratingsexamine credit ratingsInvestigate and look for information on the creditworthiness of companies and corporations, provided by credit rating agencies in order to determine the likelihood of default by the debtor.inform on renting agreementsinform on renting agreementsInform landlords or tenants of a property on the duties and rights of the landlord and tenant, such as the landlord's responsibility for the upkeep of the property and the eviction rights in the event...conduct financial auditsconduct financial auditsEvaluate and monitor the financial health, the operations and financial movements expressed in the financial statements of the company. Revise the financial records to ensure stewardship and governabi...manage contractsmanage contractsNegotiate the terms, conditions, costs and other specifications of a contract while making sure they comply with legal requirements and are legally enforceable. Oversee the execution of the contract, ...compare property valuescompare property valuesObtain information on the value of properties comparable to a property which is in need of valuation in order to make more accurate appraisals and assessments, or to set or negotiate the price at whic...assess customer credibilityassess customer credibilityCommunicate with customers to assess whether their true intentions are in line with what they claim in order to eliminate any risks from a potential agreement with the customer.ensure proper document managementensure proper document managementGuarantee that the tracking and recording standards and rules for document management are followed, such as ensuring that changes are identified, that documents remain readable and that obsoleted docu...apply technical communication skillsapply technical communication skillsExplain technical details to non-technical customers, stakeholders, or any other interested parties in a clear and concise manner.create underwriting guidelinescreate underwriting guidelinesCreate guidelines for the assessment of risks and determining whether acceptance of liability and granting payments is worth the risk for the organisation. Develop improved methods of analysis which e...estimate damageestimate damageEstimate damage in case of accidents or natural disasters.negotiate loan agreementsnegotiate loan agreementsNegotiate with banking professionals or other parties functioning as lenders in order to negotiate the interest rates and other aspects of the loan contract in order to obtain the most beneficial agre...analyse insurance riskanalyse insurance riskAnalyse the probability and size of the risk that is to be insured, and estimate the value of the insured property of the client.perform property market researchperform property market researchResearch properties in order to assess their usefulness for real estate activities, using various methods such as media research and visitation of properties, and identify the potential profitability ...identify clients' needsidentify clients' needsIdentify the areas in which the client may require aid and investigate the possibilities for meeting those needs.handle financial disputeshandle financial disputesHandle disputes between individuals or organisations, either public or corporate, which deal with financial matters, accounts, and taxation.manage contract disputesmanage contract disputesMonitor issues that arise between the parties involved in a contract and provide solutions in order to avoid lawsuits.organise a damage assessmentorganise a damage assessmentOrganise a damage assessment by indicating an expert to identify and examine the damage, give information and instructions to experts and follow up on the experts, and write a damage report.

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Frequently asked questions

What does an insurance underwriter do?

Insurance underwriters assess business risks and liability policies and make decisions about commercial property. They inspect the conditions of businesses’ properties, analyse inspection policies, assist with real estate and rent issues, prepare loan contracts and handle commercial risks in order to align them with business practices. Insurance underwriters analyse various information from prospective customers in order to assess the likelihood that they will report a claim. They work to minimise risk for the insurance company and make sure that the insurance premium aligns with the associated risks. They can be specialists in life insurance, health insurance, reinsurance, commercial insurance, mortgage insurance.

What skills does an insurance underwriter need?

An insurance underwriter needs 20 essential skills, including insurance law, principles of insurance, property law, modern portfolio theory, business loans.

Will AI replace insurance underwriter jobs?

The AI disruption score for insurance underwriter is 80/100 (very high risk). Skills most exposed to automation: financial statements, calculate insurance rate, collect property financial information. Most resilient: negotiate loan agreements, create cooperation modalities, identify clients' needs.

AI Replacement Risk

80/ 100

Very High Risk

Low riskHigh risk

Skills most at risk from AI

financial statements calculate insurance rate collect property financial information

Skills resilient to automation

negotiate loan agreements create cooperation modalities identify clients' needs

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Quick Facts

SectorAccountancy

ISCO GroupBusiness and administration associate professionals

Essential Skills20

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