What is underwriting in the insurance industry?
Underwriting is the process through which an insurer evaluates the risk of providing coverage to an individual, asset, or entity, and determines the suitable terms and conditions for the insurance policy.
Why is underwriting crucial in the insurance industry?
Underwriting is essential in insurance because it assesses the risk of insuring a person, sets fair premiums, prevents fraud, and ensures regulatory compliance. It helps insurers charge appropriate rates based on the likelihood of a policyholder making a claim.
Who underwrites Mukuru's funeral cover?
Mukuru's Individual and Family Funeral Cover is underwritten by Zimnat Life Insurance, a member of the Life Offices Association of Zimbabwe.