Medical Underwriting

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Medical Underwriting A method of evaluating an applicant’s health and medical history to determine if a policy will be issued and if so, the appropriate rates and exclusions. Examples an underwriter for a health insurance company will review medical details, while a loan underwriter will assess factors like credit history. An underwriter's job is complex. They have to determine an acceptable level of risk and what's eligible for approval based on their risk assessment. When insurers are allowed to consider pre-existing conditions, medical underwriting is the process they use to find pre-existing conditions and factor them into eligibility, pricing, and coverage. In recent years, regulations have limited the use of medical underwriting in determining rates. Regulations can change, and health care regulation is highly controversial in some jurisdictions. For example in the US medical underwriting for new enrollees is no longer used for major medical coverage in the individual or small group market, due to the Affordable Care Act. Medical underwriting is a tool that insurers use to keep claims and premiums as low as possible by avoiding having to pay for pre-existing conditions. #benewinsurance #insurtech #inclusiveinsurance #insurance #reinsurance #takaful

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