Question

6. Describe the role of each insurance occupation listed: agents; brokers; loss adjusters; underwriters and; actuaries. How do their interests both align and conflict? What duties does each owe to both the consumers and the firms they work for in a fiduciary manner?

Answer 1

Agent - A person who represents a person or a company in the matters of business or insurance who can make insurance decisions agreements extra on the behalf of the company is known as an agent.

Brokers - insurance broker is specialist in insurance and risk management brokers act on behalf of their client and provide advice in the interest of the clients sometimes an insurance broker will act as agent of the insurance but where this occurs the situation should be fully explained to the client.

Loss adjusters are independent claims specialist who investigate Complex and continuous claims on behalf of insurance companies all fees are paid by the insurance companies in addition to claim settlement.

Underwriting is the process of evaluating the risk of ensuring a home car driver or individual such as the case of life insurance to determine if it's profitable for the insurance company to take the chance.

Actually is a business professional who analyses the financial consequences of risk actuary uses mathematics statistics and financial theory to study uncertain future even especially those of concern to insurance and pension programs. Insurance broker in insurance agent both sell insurance Wiki difference between both of them is that insurance agent called the captive agent typically works for one sharons company Indus cancel insurance policies of this company only insurance broker represent multiple insurance companies does brokers are free to offer a variety of wide range of products to their clients. Insurance broker is an specialist in insurance and risk management broker act on the behalf of their client and provide advice in the interest of their clients sometimes and insurance broker will act as agent of the client also. Insurance agents can be compared in the front lines salespeople agent jobs centres around prospecting of new policyholders communicating with potential clients about the benefits of different policies and turning prospects into long term clients. Insurance adjusters when a policy holder in cause of financial loss that is covered by an insurance policy the client some it's a claim to the career in the first step of the claim process insurance Carriers send a representative called adjuster to physically inspect the claim damage and estimate the cost involved. The big difference between actuaries and underwriters are the task they perform actually use Advanced Mathematics to help develop insurance policy based on the risk while underwriters process insurance applications making the final decision as to where to issue a requested policy the actually is typically focused on controlling the downside where as the underwriter is typically focus on maximizing the upside actuaries are trying to contain risk and underwriters are actually a signed the job of taking on more.

Duties - duty of insurance agent insurance sales agents, least one or more types of insurance such as property and casualty life and health and long term Care Insurance an increasing number of insurance sales agents of their clients comprehensive financial planning services specially for clients approaching retirement. Agents help them in investing in different policies and also when required to take the money out from the policy in the case of some is happening. Nikki general awareness about the markets does promotion of insurance brand well planned Strategies and plans need to be carved out public relation building exercise Business Development practice he explains the client every possible way the insurance covers the client.

Duty of an insurance broker an insurance broker is a professional who offers negotiate send cells policies he acts as a intermediary between the insurance and the customers and receive compensation an important role of the brokers is to health insurance to access the types of risk their face.

The role is relatively new in terms of the definition as not many people know about the actual significance of loss adjusters in Olden times when the insurance was a new phenomena Insurance Company used to hire intermediary who could access The authenticity of claim and pay them a little fees for their services however as the profession evolved the role of a loss adjuster has become more important whenever there is a accident of fire a robbery or an incident that causes damage to the property people file a claim if they have gotten the property insured earlier to verify the claim and determine the degree of damage done and subsequent steps required to file the claim a loss adjuster is higher a loss adjuster recomends the insurance companies how much to be paid on the basis of the policy coverage and loss adjuster works on behalf of both the companies and he is impartial they investigate the event and access how the incident took place they calculate the value of property and make guidelines for making a claim they participate in trials meetings and act as a mediator there are some other roles as well he behaves as a claim adjuster claim specialist property adjuster liability adjuster an accident lost adjuster.

The duties of an underwriter underwriter work in 7 insurance categories including health life auto and home this job is to review applications for insurance analyse risk and decide whether the company will offer coverage on the night is must approved applications so that the insurance company can collect premiums they must have approved too many high risk applicants who may require Lajpat however because the insurance company ultimately wants to make money few other words are they behave as screen applicants underwriters review applications for insurance and screen them based on the criteria of insurance company analyse risk and insurance underwriter analyses the risk associated with applications that meet the minimum criteria and then approve applications underwriters use computer programs and software to help then determine and applicants eligibility and risk factors the underwriter must understand what facts to enter into the program based on the recommendation from the software and risk analysis the underwriter decides whether to approve or reject an application he also writes policies underwriter determine the coverage limit and premiums from approve policies higher risk applicants pay higher premiums than those with lower risk.

Many actuary work in technical roles applying their skills to tasks such as designing new insurance product forecasting expected rate of loss settling premium rates for calculating the liabilities of an insurance to its policyholders there are four major responsibilities of actuary

Compiling interviewing statistical data this is the first in the most important responsibility of actuary actuaries gather data on mortality sickness accidents disability and retirement within their community as well as any other data that may be relevant to their employer. Advising on company policy another Responsibility is contract review and actually will review contracts insurance plans and Unity plants pension plans and policies Then look to see if those policies take the risk be calculated into account. Providing expert testimony actuaries are sometimes ask to provide testimony in lawsuits that revolve around insurance address in general sometimes they are asked to test if I on the behalf of their employees but they are also asked to act as a expert witness.. devising new methods of risk analysis why actuaries often rely on statistical models devised by other actuaries on mathematics in general they are sometimes asked to come up with new statistical models in order to evaluate risks for new insurance policies.