How Does Life Insurance Underwriting Work?
Life Insurance underwriting works by evaluating a whole lot of different factors and determining how likely you are to die prematurely. It would seem that most people would be very interested in the process and just exactly where they stand. Life Insurance underwriters are trained to consider a number of different bits of information to arrive at an idea of how much of a risk any individual person is to insure. They are armed with a great deal of information. The massive data gathering capacity of computers have made this process even more detailed. Extremely detailed mortality tables have been prepared to assist the underwriters. Underwriting is not fortune telling, however. It is not based on accurately predicting the future, because this can not be done. Rather, it works by computing odds and averages and assigning rates to Insurance Policies that will tend to produce the desired results for the customers and the clients. It is not concerned with exceptions and unusual or unlucky ci
