Who is responsible for developing the premium rates for an insurer's newly-developed packaged policy?

The responsibility for developing the premium rates for an insurer's newly-developed packaged policy typically falls to an actuary. Actuaries are professionals who use mathematical, statistical, and financial theories to analyze the financial costs of risk and uncertainty. They play a crucial role in determining the appropriate premium rates by evaluating the expected claims, administrative costs, and profit margins related to the insurance policy.

Their analysis involves assessing historical data, market trends, and other relevant information to model potential future claims, which directly influences how premium rates are set. This ensures that the premiums charged will be sufficient to cover expected losses while remaining competitive in the market.

Other roles, such as underwriters, while involved in the overall assessment of risk and decision-making regarding policy issuance, typically do not develop rates themselves. Instead, they apply the rates set by actuaries when writing policies. Loss adjusters and loss assessors also play specific roles in claims handling and ensuring fair coverage of losses but are not responsible for rate-setting.