أنشئ حسابًا أو سجّل الدخول للانضمام إلى مجتمعك المهني.
When the underwriter accept the risk that provided by the broker he acts as follows :-
1/ Provides the client a required coverage and charge the correspondence premium by debiting the client's account and therefor submit the insurance policy together with debit note to the insured via the brokerage company.
2/ To pay the brokerage i.e ( commission ) the underwriter should issue a credit note in favor of the brokerage company.
Best wishes.
A debit note is issued to clients when charging premium, and a credit note is issued when refunding premiums to clients.
Moreover, in case broker is involved , a credit note is issued to broker for their brokerage, and in case of reinsurer's support, debit notes are issued to RI for their RI share of the premium.
Agree with the Answer added by Mr. Mamoun elbaghir abdalla mhamad Eltayeb
after determine the likelihood and magnitude of a payout over the life of the policy. Higher-risk individuals and assets will have to pay more in premiums to receive the same level of protection as a (perceived) lower-risk person or asset.