underwriting
- 01 C1 Advanced
the process of checking if a person or project is a safe risk before giving insurance or a loan.
the formal process of evaluating the risk of a potential client or project to determine coverage, pricing, or creditworthiness.
Simple“The bank's underwriting process took two weeks because they had to check my credit history.”
In context“Strict underwriting standards were implemented to ensure that the insurance firm remained solvent during the economic downturn.”
UsageOften used as an uncountable noun in business contexts.
Synonyms - 02 C1 Advanced
the act of agreeing to pay for something or support a new business deal.
the act of providing a financial guarantee or backing for a new issue of securities or a large-scale project.
Simple“The company secured the underwriting for their new project from a major investment bank.”
In context“The investment bank provided the underwriting for the initial public offering, agreeing to purchase any shares that remained unsold to the public.”
UsageCommonly appears in the context of IPOs and large corporate contracts.
Synonyms