For insurance companies risk management is critical to the success and viability of their business. As a result, they have therefore adopted strategies to manage the risks they are exposed to. ·...

For insurance companies risk management is critical to the success and viability of their business. As a result, they have therefore adopted strategies to manage the risks they are exposed to.

 · Explain underwriting risk and discuss two risks faced by insurance companies.
· Discuss the importance of establishing an effective risk management policy at insurance companies to manage underwriting risks, giving one example of a risk management strategy used by insurance companies to mitigate such risks.
· Discuss the role of the Insurance Core Principles as it relates to underwriting risks, in the effective management of insurance companies. Refer to the following link, https://www.iaisweb.org/page/supervisory-material/insurance-core-principles-and-comframe