According to legal definitions, a person capable of making an insurance policy is known as what?

In the context of insurance, a person capable of making an insurance policy is referred to as an insurer. The insurer is the entity or organization that provides insurance coverage and assumes the risk associated with that insurance. This entity has the authority to establish terms and conditions of the policy, as well as to determine the coverage limits and premiums.

The role of the insurer is crucial as they underwrite the risk and decide what risks they are willing to cover, which is the foundation of an insurance policy. This definition aligns with the legal framework governing insurance, where the insurer holds the obligation to pay claims and manage policies according to regulatory standards.

In contrast, other roles such as brokers, agents, and underwriters serve different functions in the insurance process. Brokers act as intermediaries who help clients find suitable insurance coverage from various insurers, while agents represent one specific insurer and sell policies on their behalf. Underwriters assess risk and determine the terms of insurance policies but do not have the authority to create the policies themselves; that responsibility lies with the insurer.