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General practice in Australia is delivered largely through fee-for-service private practice, underwritten by a government insurer.
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Banks and building societies accessing the scheme will follow international standards and best practice on underwriting, disclosure, reporting and valuation.
Processing trades is also much less alluring than the high-fee investment banking practices of underwriting stocks of new companies and advising corporations on mergers and acquisitions.
At the time, Blue Cross, like other insurers, practiced "medical underwriting".
Eleven of the 44 practice guidelines were underwritten by pharmaceutical companies and carried declarations stating so.
The practice of medical underwriting — being able to consider the health of a prospective policy holder before deciding whether to offer coverage and what rate to charge — will no longer be permitted after 2014 under the health care law.
It defines genetic information in order to make it off limits to health insurers and employers, preserving access to health-care and employment opportunities that would otherwise be imperiled by the general practice of medical underwriting; but it leaves that practice otherwise unaffected and, at the point of actual illness, removes any protection from the harsh effects of the current regime.
In practice, it seems to underwrite almost everything.The experience in Western countries since the financial crisis has not been that different.
Mr. DiFrisco says the Darden episode is reminiscent of the practice of awarding lucrative underwriting business only to firms whose analysts rate the shares a buy.
This provoked the Federal Reserve to release guidance last month warning that "prudent underwriting practices have deteriorated".
Some, in particular Dresdner Bank and Deutsche Bank, have tried to establish better underwriting practices.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com