An underwriter is a professional or entity that evaluates and assumes the risk of insuring or financing a client. They assess applications for insurance, loans, or securities, determining the terms and conditions based on the applicant's financial status and risk factors. This process helps ensure that the company can manage potential losses effectively. In the context of insurance, underwriters analyze various factors, such as health history or property conditions, to decide whether to provide coverage. In finance, they may help set the price of securities for a company, ensuring that the investment is attractive to potential investors while managing risk for the issuing company.