Introduction
Underwriting is the process of evaluating and quantifying the financial risk associated with an entity or an individual, commonly in the context of extending loans, providing insurance coverage, or making investments. This assessment is carried out by underwriting experts employed by various financial institutions. The main goal of this risk evaluation is to protect the interests of investors, applicants, banks, and the overall financial market in the realm of financial agreements and transactions. While traditionally done by expert underwriters, the growing need for efficiency, accuracy, and scalability has made underwriting automation a crucial solution for financial institutions.
In this blog post, we will discuss the different types of underwriting and examine how automating this process can offer significant advantages to financial institutions.
