Underwriting Non-Renewal Equity vs. New Business
Posted: Tue Sep 17, 2019 12:13 pm
Anyone that has producing P&C for awhile has a surely developed a love-hate (mostly one of those!) with the underwriting department. Thankfully these days thanks to technology most new business is self-underwritten with guidelines baked-in.
But when it comes to underwriters setting up DNR's (Do Not Renew) for customers it seems there is still a lot of subjectivity in making those decisions. Nothing new to anyone is seeing DNR's on long-time policyholders due to claim activity.
But what I have been seeing lately from a carrier is setting up DNR's for policyholders that would qualify as new business customers! I have never seen anything like that in many years of doing business. On the surface it makes absolutely zero sense...why would a carrier send one out the door while the exact same risk would be welcomed aboard as a new customer.
Is this something you have seen with your carriers? Or is this just poor/inexperienced underwriting?
But when it comes to underwriters setting up DNR's (Do Not Renew) for customers it seems there is still a lot of subjectivity in making those decisions. Nothing new to anyone is seeing DNR's on long-time policyholders due to claim activity.
But what I have been seeing lately from a carrier is setting up DNR's for policyholders that would qualify as new business customers! I have never seen anything like that in many years of doing business. On the surface it makes absolutely zero sense...why would a carrier send one out the door while the exact same risk would be welcomed aboard as a new customer.
Is this something you have seen with your carriers? Or is this just poor/inexperienced underwriting?