by leyzerh » Thu Oct 23, 2008 08:05 pm
can some help me with a confusion:
first gather information from the costumers: rating factors
then they are sent to and underwriter: he or she analyzes the data and creates a quote
then: costumer likes what he or she sees then signs and then returns to the carrier and then what that costumer has a policy?
is this right?
when does a proposal becomes a policy?
as far as terms: quote, issue, bind, policy
what is the order?
any help please will be very much appreciated
first gather information from the costumers: rating factors
then they are sent to and underwriter: he or she analyzes the data and creates a quote
then: costumer likes what he or she sees then signs and then returns to the carrier and then what that costumer has a policy?
is this right?
when does a proposal becomes a policy?
as far as terms: quote, issue, bind, policy
what is the order?
any help please will be very much appreciated
Posted: Thu Oct 23, 2008 08:24 pm Post Subject:
Dependent upon the company it could be different. For the company I work for. I have binding authority. I quote on our system, if the customer likes the quote I work up the quote in an application which is usually the same rate unless something wonky happens. The customer signs the application and makes a down payment. At that point becuase I have binding authority the policy is in effect. I then will upload the application and will them be approved from our Provider home office and the policy is then issued.
When quoting we will look at the driving history of all the people that will be on the policy, run an insurance score, and decide if we want to insure the person (we can reject the customer if we do not feel comfortable or feel the person is a good risk, doesn't happen often but I've had a couple in my office that I chose not to).
your answer: quote, bind, issue
Hope that helps
Posted: Fri Oct 24, 2008 05:07 am Post Subject:
I second Slappy, the customer agrees with the quote and signs the policy application. The application then will go through the underwriting process to see whether its possible to offer the certain coverage to the client at that price.
Posted: Fri Oct 24, 2008 03:45 pm Post Subject:
One more question....so in case of online quotes, does the signing of application takes place electronically when teh customer accepts the quote to be converted to a policy.
Posted: Thu Oct 30, 2008 03:43 pm Post Subject:
That is correct. There is an electronic signature that is used. In my professional opinion...do not purchase a policy off the internet. I am not just saying this because I am an agent but because you don't get all the information you should. When you meet with an agent they can teach you about your policy and what is offered/covered/optional. If you go online you pick what you want which is probably fine by you and probably cheaper but when you need it, may not be sufficient or correct. The other thing is that you might miss something that an agent won't. I know everything is price sensitive right now and some prices online are cheaper but if you find the right agent you might be able to find a better deal. My carrier for instance prices their policies higher online because they want you to go to an agent.
Posted: Thu Oct 30, 2008 06:50 pm Post Subject: insurance
"Insurance score." You mean kind of like a credit score? The 'risk' of the insured/ Wow!! I din't know that's what happens when you apply for an auto policy. I knew they looked at your driving record, but..I din't know they gave you a 'score'.
Posted: Fri Oct 31, 2008 06:46 pm Post Subject:
Absolutely. The credit score used to be looked at alone but that was causing some issues because certain aspecsts were taken into account that did not need to be so they came up with what is called an insurance score. This is how my company states it if asked.
In order to correlate insurance score to claims activity, an applicant's insurance score is compared to the performance of a group of consumers with profiles similar to the applicant's profile. A mathematical formula, or algorithm, assigns various weights to factors in the credit report in order to produce an insurance score, which is then used to determine eligibility for insurance or the appropriate price. The score predicts the likelihood of certain events occurring in the future.
The main difference between an insurance score and a credit score is that insurance scores only look at certain variables of a credit report that have historically been more indicative of future insurance loss potential. Insurance scores also do not take into account a consumer's income. Unlike a mortgage company, an insurance company is not assessing a customer's credit-worthiness and therefore doesn't consider income. Instead, an insurance company only considers those items on a credit report that are predictive of the potential for future loss.
Research has shown that people who manage their credit well and pay their bills on time are more likely to be safer drivers or take better care of their home and therefore will have fewer losses. Insurers look at long-term patterns and overall responsible use of credit when determining an individual's insurance score.
Posted: Fri Oct 31, 2008 06:49 pm Post Subject:
Rating insurance is a numbers game. Everybody can be sectioned into a one of very many specific classifications dependent upon many variables. Once the insurance score has be determined you then need to work in all of the other variables such as the type of car, what it is used for and then you coverage limits. As you an see...it's all about the numbers.
Posted: Sat Nov 01, 2008 03:22 am Post Subject: insurance
'Here we go again' thing........put us in a catagory, without knowing who we REALLY are. Can't 'find' us without some ID number or SS number. They use to look at your credit score, too? How would your credit score tell them if you're a good or bad driver? This world is getting crazy!!
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