Page 62 - MEDICAL AND HEALTH INSURANCE

MEDICAL AND HEALTH INSURANCE

From the medical questionnaire, the underwriter will be able to assess the

risk if there are any underlying medical conditions, while underwriting the

risk.

Underwriting may also request for a specific medical report from the

proposer's attending physician, if they deem a requirement to further
assess the risk, for example, in the case of hypertension or asthma, on the

frequency of treatment and prescription of the dosage of drugs taken. This

additional report cost is to be borne by the proposer.

Similarly, medical underwriting is also applicable to small group policies,
whereby the health declaration is required and not waived. Underwriter

will determine any pre-existing condition to be imposed or otherwise.

This is a technical skill required by underwriters to underwrite medical

conditions and generally, in some big companies, the engagement of a

medical director is a prerequisite to oversee this division. Many

underwriters may have previous medical knowledge, e.g. nursing
experience.

3.1.5 MORATORIA UNDERWRITING

Moratoria underwriting is often referred to as 'point of claim
underwriting', which enables the PMI policy to be purchased with minimal

formalities, whereby the proposer is not required to provide a full medical

history at the time of joining the scheme. With moratoria underwriting,
the insurer will not cover any pre-existing condition for which the proposer

has:

a) received treatment for the medical condition in the previous few years

b) taken medication or advice for the medical condition in the previous

few years

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