Underwriting Manager Interview Questions and Answers

The Dynamo clause in fire policy refers to a provision that covers damage caused by electrical currents.

• The Dynamo clause is a common inclusion in fire insurance policies.

• It provides coverage for damage caused by electrical currents or power surges.

• This clause is important as electrical fires can cause significant damage to property.

• For example, if a power surge damages electronic equipment in a building, the Dynamo clause would cover the cost of repair or replacement.

• It is e...read more

The sum insured in Machinery breakdown policy is arrived based on the value of the machinery and equipment covered.

• The sum insured is determined by the value of the machinery and equipment covered under the policy.

• It is important to accurately assess the value of the machinery to ensure adequate coverage.

• Factors such as age, condition, and usage of the machinery may also be taken into consideration.

• The sum insured may be adjusted periodically to reflect changes in the value o...read more

Leverage ratio is a financial metric that measures the amount of debt a company has relative to its assets.

• Leverage ratio is calculated by dividing a company's total debt by its total assets.

• It is used to assess a company's ability to meet its financial obligations.

• A high leverage ratio indicates that a company has a significant amount of debt relative to its assets, which can be risky.

• For example, if a company has $1 million in debt and $5 million in assets, its leverage rat...read more