What is underwriting?

Career: Underwriter

Underwriting is the process of determining risk for different kinds of loans or transactions. Mortgage underwriters review loan applications for property buyers and conclude whether or not the applicant has enough credit and collateral to repay the loan. Insurance underwriting evaluates the risk of approving an insurance policy for an applicant. Underwriters in the stock market determine the risk and price of a particular security and work to make profits off of these stocks.