underwriter
n. 1. A member of an insurance company or a Lloyd’s syndicate who decides whether or not to accept a particular risk for a specified premium. In general, the public only deal with underwriters through a broker. 2. An individual, finance company, or issuing house who undertakes for a commission to acquire a specified number of shares in a company if those shares are not taken up by the public during a flotation. In both cases the underwriter may relieve himself of part of his liability by effecting similar arrangements with subunderwriters. |