MANAGEMENT

Detailed explanation-1: -DELEGATION OF AUTHORITY AND RESPONSIBILITY – the ability to delegate responsibility to subordinates in a manner that supports their success and holds them accountable for results. Monitors progress on delegated tasks/responsibilities.

Detailed explanation-2: -The delegation of authority refers to the division of labor and decision-making responsibility to an individual that reports to a leader or manager. It is the organizational process of a manager dividing their own work among all their people.

Detailed explanation-3: -According to the principle of absolute responsibility, authority can be delegated but responsibility and accountability cannot be delegated by a manager. The manager is responsible or accountable to his own superior for both, the tasks that he has assigned his subordinates and the acts of his subordinates.

Detailed explanation-4: -A delegated authority relationship is formed when an insurer permits another party to act on their behalf, either in an underwriting or claims handling capacity. Where underwriting authority is delegated Lloyd’s refers to these as coverholders.