Match each underwriting scenario to the specific source of information the underwriter would most likely use.
- Medical Information Bureau (MIB)The underwriter wants to check if the applicant recently submitted an application to a different member insurer that revealed adverse health findings.
- Attending Physician's Statement (APS)The underwriter needs specific, detailed medical records from the treating doctor regarding a surgery the applicant had three years ago.
- Investigative Consumer ReportThe underwriter requests a background evaluation that involves questioning the applicant's neighbors about their daily habits and moral character.
- Agent's ReportThe underwriter wants to review the producer's confidential, first-hand observations about the applicant's physical condition and home environment.
Answer
MIB matches with checking for adverse health findings submitted to a different member insurer. APS matches with needing detailed medical records from a treating doctor regarding a past surgery. Investigative Consumer Report matches with questioning neighbors about daily habits. Agent's Report matches with reviewing the producer's confidential, first-hand observations.
Each scenario requires a specific source of underwriting information. The MIB is designed to track adverse findings across member companies to prevent fraud. An APS is specifically for obtaining detailed medical history from a treating physician. Investigative Consumer Reports are unique in their use of personal interviews to assess character and lifestyle. Finally, the Agent's Report provides the underwriter with the producer's direct, confidential observations made during the application process.
Step-by-Step Solution
Key Concept
Various sources of information are used in underwriting to accurately assess the risk profile of an applicant, each serving a distinct purpose.