Underwriting in the 21st Century
This article series continues to explore the evolving landscape of underwriting in the 21st century. In this installment we explore the impact of informal, or preliminary, applications on both the workfl ow of an underwriting department and on relationships with producers. We spoke with four leading carriers in this market about innovations they have implemented to improve these dynamics, and we also spoke with a reinsurer to gain additional perspective on this marketplace.
It found agreement that informals, if not handled correctly, can significantly bog down an underwriting operation. The solution offered by these companies is to find ways to create a sense of partnership with the producers and a shared interest for both sides to improve the process. Reducing cycle time and the burden on underwriting departments is the key to improving the process–and increasing profitability.
