Even though some people don't meet the QM guidelines, many of them can repay a mortgage and are
good risks. After all, not all borrowers with DTI ratios of 44 and higher are created equal--and neither are all non-QM loans.
It is also important to know that Risk Management involves weighing bad risks and
good risks. Bad risks are events that an organization wants to avoid, if possible, at a reasonable cost.
Companies aren't good at weighing
good risks and most cannot quantify their risk appetite.
Risk management involves weighing bad risks and
good risks. Bad risks are events that a company wants to avoid, if possible, at a reasonable cost.
Many health insurers have argued that imposing a tough mandate will be essential to any successful effort to offer coverage on a guaranteed issue basis without leading bad risks to flood into the health insurance system and
good risks to pour out.
Compared to a socially optimal individualized or type-specific negligence rule,
good risks are required to spend too much on care to meet the reasonable person standard, whereas bad risks are required to spend too little.
Insurance can be wonderful value provided the
good risks buy it along with the bad and cannot shop around for the best deal for being a
good risk.
No longer were physicians considered the
good risks and many companies downgraded them, said Matt Gottfried, director of individual disability income for Berkshire Life Insurance Company of America, a wholly owned stock subsidiary of Guardian Life Insurance Company of America.
Limiting credit-based scoring, it says, would endanger the discounts
good risks now receive.
She learned that we specialize in complex situations such as buyers who are
good risks but can't verify income and those who just need to close very fast.
The risk equalisation scheme aims to ensure that risks are shared across the market and prevent new insurers on the market from 'cherry picking' the
good risks. It neutralises differences in health insurers' costs that are due to variations in their risk profiles.
In some cases, lenders feel our clients are
good risks."
