Why are motor vehicle records reviewed in field underwriting?

• A. To verify driving license validity.
• B. To assess driving risk that could influence insurability or premium.
• C. To check vehicle ownership.
• D. To determine policy's cash value.

Answer: (B)

Reading motor vehicle records helps determine driving risk and how it could affect insurability or the premium. These records reveal the driver’s history—past accidents, moving violations, DUIs, license suspensions—that correlates with the probability of future claims. If the history shows recent or serious incidents, the applicant is higher risk, so the underwriter may charge a higher premium or even decline coverage. A clean record, by contrast, supports standard or preferred pricing. While license status or vehicle ownership might appear in checks, the main purpose of reviewing these records is to assess risk for insurability and pricing; cash value is not relevant to auto underwriting.