Which One of the Following Statements, is In-Correct, with Regard to Judgement Method of Underwriting?
A)Under this Method, Subjective Judgement is used.
B)This Method is especially used in Case of Complex Cases.
C)In this Method, the Company may seek Expert Opinion of Medical Doctor.
D)In this Method, the Underwriter assign Positive or Negative Rating-Points to the Adverse Factors.

Question

Quizplus · Accepted Answer

The incorrect statement is D because, in the judgment method of underwriting, underwriters do not assign positive or negative rating points to adverse factors. Instead, they use their subjective judgment, experience, and sometimes expert opinions to assess the risk associated with insuring an individual or entity, especially in complex cases. The process is qualitative rather than quantitative and does not involve a systematic assignment of rating points.

Which One of the Following Statements, Is In-Correct, with Regard