General insurance Why Monitoring is important to the insurance company

[Mataracy]

Monitoring is very important to every standard insurance company.
Every insurer shall not, later than 30th September of each year, submit to the commission its annual returns which include, a duly audited balance sheet , profit or loss account and revenue account for each class of business a statement of investments.

In addition an insurer transacting life insurance business must submit the following; an abstract of the report of an actuary and valuation report of the insurance business; a summary and valuation of the life policies; a table of premiums, policy reserve values and guaranteed surrender values; abs a certificate of solvency signed by an actuary showing that the value of assets of the company exceeds the value of its liabilities.

The essence of the monitoring of the companies is to detect on time, the companies that are not performing well so that remedial actions could be promptly taken.

Did you think that its necessary for insurance company to monitor the insurer ?

 

[Mandy96]

Judging from your stated analysis, I don’t think the reasons are worth enough for the insurance company to monitor the insurer. I understand that the transaction between the two parties must be monitored for security purpose. But after that, I don’t think it is demanded because it might caused the client to feel uncomfortable

 

[Mataracy]

Judging from your stated analysis, I don’t think the reasons are worth enough for the insurance company to monitor the insurer. I understand that the transaction between the two parties must be monitored for security purpose. But after that, I don’t think it is demanded because it might caused the client to feel uncomfortable

But did know that there may be some insurer that are too stubborn that is you don't follow them up you can not recover your money from them.
Though whenever they want to start to take up the policy they may look so gentle and obedient but after then they will just change. Like wise the insurance company its self might not like to disclose its realm returns to the commissioned. They may even disclose just small out of their returns so that their gain may be many at the end. That's the main reason why government is also checking them up.

 

[btaliat]

There is need for proper monitoring on both sides. The insurance complains need to monitor the insurer to make sure that he submittes anythjng that needed to be done on time while the insured needs the broker or maybe agent to monitor the credibility of the insurance company to ascertaine it worthiness.

 

[Augusta]

There's always need to monitor everything that is going on between two parties and I think the most is on the insurance company since they do not want to pay claims for what isn't true. The credit worthiness of the. Insurance company need to be checked too to avoid the insured getting into a dubious deal

 

[Chibson]

i think it is very important for the insurance company to monitor the individual because it is a business and they must do everything possible in order not to make losses. there are a lot of fraud in so many places and i think if the insurance company doesn't really monitor and investigate some issues, they will be at a very huge loss.