Outsourcing of Underwriting Activities in Insurance – Advantages and Disadvantages

Outsourcing of Underwriting Activities in Insurance – Advantages and Disadvantages

Analyze the extent to which outsourcing can be effectively used by insurance organizations

 The case focuses on the need for proper coordination between the various functions of an insurance organization. It discusses the problems associated with the aggressive selling of products and the lack of proper back-up underwriting staff to process applications for insurance policies. The case also examines the feasibility of outsourcing underwriting activities to speed up the processing of applications.

Issues:

» Understand the importance of proper coordination between the marketing department and the underwriting department

» Analyze the extent to which outsourcing can be effectively used by insurance organizations

 

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