The difference between an writing and the parent insurance company
Parental Insurance Company:
A parent insurance company is an entity that is the overlooking entity for one or multiple subsidiary companies. These subsidiary companies can be totally independent or partially independent of the parent company. The purpose is to create smaller entities focused on a well-scoped area (like one line of business or one region). The parent insurance company’s name may appear as the Billing company name or the Insurance Provider’s name when insurance is bought from a subsidiary company, while the subsidiary itself will be the insurance underwriter.
Insurance Writing Company
An insurance writing company or Underwriting company is the entity that issues the insurance policy. This company is issuing the policy considering all the data provided by the agent or insured to the company. This company may not collect the bills if it is a subsidiary of a parent company and the billing may come from the parent company.
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Originally published at https://blog.webnersolutions.com on March 4, 2022.