Insurance Underwriting Careers
What’s an underwriter, you ask? Underwriters are the people who analyze risks and establish the pricing for insurance coverage. With a strong analytical mindset and top-notch problem-solving skills, underwriters come up with the most effective coverage at the best price point for each policy.
Job Description
Underwriters look at the risk posed by individual policy applications to decide whether to offer the customer a policy, what the coverage should be, and how much to charge in premiums. They make these decisions based on the details in the individual application and extensive industry data.
While underwriting some risks such as car insurance, can be quite easy — with simply the facts including make and model of the car, age of the driver, and location — other more complex risks require a more thorough process. Imagine underwriting a policy for a music festival. You need to look at the venue, the audience, the climate, potential hazards, and so much more.
Underwriters work in multiple insurance fields, including home, auto, and professional liability. Underwriters don’t typically interact with customers directly. Instead, they are typically working through an agent or broker using their own extensive analytical skills and sharp attention to detail to formulate coverage options.
Required Skills
- Data analysis
- Quantitative skills
- Attention to detail
- Organizational skills
- Decision-making
Degree Required?
No
A degree is not required and there are options for entry-level positions. However, many underwriters start with bachelor’s degrees in insurance, finance, business, economics, or related fields.
Additional Education
Earning additional designations can help you obtain promotions and a higher salary.
Preferred Previous Experience
There are options for entry-level positions and on-the-job training. Some employers may prefer a few years of industry experience or a strong educational background in the field.
Earning Potential: $60,000-$104,000
Salary varies based on previous experience, seniority, company and geographic location.
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