Which process includes evaluating risks to determine whether to provide insurance?

The process that involves evaluating risks to determine whether to provide insurance is underwriting. Underwriting is a critical function within the insurance industry, where underwriters assess the likelihood of a loss based on various factors such as the applicant's personal background, property details, and overall risk profile.

During this process, underwriters review information submitted in insurance applications, analyze data, and apply guidelines and standards set by the insurance company. After thorough evaluation, they determine whether to accept or decline the risk and under what terms, including premiums and coverage limits. This ensures that the insurer can maintain profitability while providing coverage to policyholders.

In contrast, claims processing focuses on handling and settling claims filed by policyholders after a loss event occurs. Risk management involves identifying, assessing, and prioritizing risks to minimize their impact, but it does not specifically pertain to the decision-making aspect of offering insurance. Policy issuance refers to the final step where a policy is formally delivered to the insured and does not involve the assessment of risk prior to coverage being granted. Thus, underwriting is the correct term that encapsulates the evaluation of risk for insurance provision.