underwriting expense

Underwriting expense is the (1) cost incurred by an insurer when deciding whether to accept or decline a risk and (2) expenses deducted from insurance company revenues (including incurred losses and acquisition costs) to determine underwriting profit.

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Additional Information


It may also include meetings with the insureds or brokers, actuarial review of loss history, or physical inspections of exposures.

Summary


Synonyms

profitability