When a person or entity obtains insurance coverage, they are entering into a contract with the insurance company. The person who is covered under the insurance policy is referred to as the Ainsured,@ and the insurance company is often referred to as the Ainsurer.@ Although the person or entity usually works with an insurance agent to obtain the insurance policy, the agent has no control over the terms of the policy. Often, the insurance agent has very little assistance to offer the policyholder after the policy is issued by the insurance company.
Attorneys and insurance professionals who work for the insurance company write the terms of the insurance policy. Other employees for the insurance in a department called Aunderwriting@ determine the risks associated with issuing a policy to a given person or entity.
