• Insurance underwriters assess the risks associated with insuring people and assets and price the risk.

  • Investment banking underwriters guarantee a minimum share price for a company planning an IPO (initial public offering).
  • Underwriters of commercial banks assess the risk of lending to individuals or lenders and charge interest to cover the cost of taking on that risk.
  • Insurance companies assume the risk of a future event and collect insurance premiums in exchange for a promise to reimburse the client in the event of damage or its occurrence.