Which statement is true about MIB under underwriting?

Which statement is true about MIB under underwriting?

• A. It is a membership organization owned by insurer members and is a nonprofit trade organization
• B. It is a government agency that licenses physicians
• C. It is a consumer credit reporting agency
• D. It is a platform for policyholder complaints

Answer: (A)

Underwriting often relies on a centralized, private information source to verify an applicant’s health history. The MIB, Medical Information Bureau, is that resource: a membership organization owned by insurer members and operated as a nonprofit trade association. It collects medical impairment information and shares it with member companies to help underwriting detect misstatements or undisclosed health issues. This system is designed to support insurers in assessing risk, with data access limited to participating companies and only after the applicant’s consent. It isn’t a government agency, so it doesn’t license physicians or regulate medical practice. It isn’t a consumer credit reporting agency, so it doesn’t provide credit history. And it isn’t a platform for policyholder complaints.

Underwriting often relies on a centralized, private information source to verify an applicant’s health history. The MIB, Medical Information Bureau, is that resource: a membership organization owned by insurer members and operated as a nonprofit trade association. It collects medical impairment information and shares it with member companies to help underwriting detect misstatements or undisclosed health issues. This system is designed to support insurers in assessing risk, with data access limited to participating companies and only after the applicant’s consent.

It isn’t a government agency, so it doesn’t license physicians or regulate medical practice. It isn’t a consumer credit reporting agency, so it doesn’t provide credit history. And it isn’t a platform for policyholder complaints.