Underwriting as a career choice?

I had a chance this afternoon to sit down and talk with Vickie who is one of our Senior Underwriters on one of our Associations teams (an Association is a group of similarly situated businesses that pools its risks and safety efforts in the hope of lower premiums through better risk management). I wanted to get her thoughts about underwriting as a career choice and to share her insights with you.

Vickie has been with Pinnacol for twenty years having joined our company when it was still the State Compensation Insurance Fund. Her first job in insurance was as a Reporting Form Posting Clerk with another insurance company. She then made the move into auditing, and from there into underwriting where she has remained ever since.

So Vickie, what does an underwriter actually do?

Underwriting involves gathering information about a business from a variety of sources, evaulating that information to determine exposures (risk), and then to price that risk. After a policy is created, underwriters monitor all of their policies (their 'book of business') to monitor the results of their decisions.

That sounds like a lot of work! What do you enjoy most about what you do?

Learning about new businesses and new risks. I also really enjoy my contacts with policyholders, agents and other stakeholders. Also, working with complex and large accounts is very interesting. Underwriting workers' comp is a little more straightforward than some other commercial lines and I like that aspect as well.

There's no such thing as a perfect job; what would you say you enjoy least about this type of work?

Underwriting can be redundant at times as you see some of the same risks over and over again. As in any company there is also a certain amount of inevitable red tape that doesn't add value. There are also times of the year that are exceptionally busy  with renewals and new business where there is more work to do than time to do it.

You've stayed with Underwriting the majority of your career. What has kept you in it? Where do you get your job satisfaction from?

Handling difficult customer situations and having a positive outcome. Also, meeting with my agents, policyholders, and associations members. Getting to hand out dividends to groups that have earned it through positive risk management is always a thrill!

Can you tell me about the learning curve for someone new to underwriting?

Underwriting is not for everyone. Coming from an auditing background where things are pretty black and white, underwriting has a lot more grey areas. Its going to take at least a year for a new underwriter to get up to speed. With Pinnacol there's a lot to learn from the Workers' Comp Act, classification rules, and all the terminology and lingo that are part of this field.

Job descriptions sometimes go on for page after page. What's the most important thing you try to accomplish every day?

Customer service excellence every single day. And for me, managing my associations groups to help ensure they receive a dividend for good performance.

How do you know if you are doing a good job?

There are a lot of internal measures available to monitor performance. I can monitor at the book level, at the associations level, and also at the policy level. Feedback from customers, my team leader, and my peers is also very valuable.

What are some of the daily frustrations you face in this line of work?

Sometimes we have a lot of meetings and outside activities that can pull me away. But I get to generally deal with a very professional group of people, from my agents to my policyholders.

What kinds of special skills have you made you successful as an underwriter?

Flexibility is key, as is being personable and outgoing. Also nerves of steel for some of the more challenging situations. A willingness to learn and to accept constructive criticism and be able to roll on is critical.

What keeps you excited about coming in to work every day?

Learning new things all the time. Learning about businesses and agents. Also learning about and interacting with my team members, my 'work family'.

It sounds like you hadn't necessarily started out your career wanting to work in insurance or specifically as an underwriter. Why did you ultimately choose underwriting?

I moved from a clerk into auditing and then into underwriting. I think they saw I was doing a very good job in my earlier positions and they thought I could be a good underwriter and it sort of evolved from there.

As someone in the industry and in the position, what kind of advice and tips can you share for someone interested in getting into this type of work?

Probably getting a degree is important as is being very fluent in technology. Once in the industry, in whatever role, pursue professional insurance designations (AIC, ARM, CPCU etc.) to learn as much as you can. Learn the terminology or you'll be lost at some of the meetings you'll be attending!

Thanks Vickie for sharing these insights, and congratulations on your twenty year anniversary with Pinnacol this month!

Readers, if you have a question about underwriting please leave a comment and we'll follow up with Vickie for a response.