Insurance is a unique field of expertise.
Many people didn't plan to become insurance professionals, but through the twists and turns of life find themselves within the industry. As an industry, insurance not only values the education of its professionals but requires it for many. Throughout the country, agents must be licensed in each state, and many states also require adjusters to be licensed.
This licensing ensures that the fundamentals are understood and can be applied correctly. But it doesn't stop there. Insurance is an industry with many nuances, and the professional agent, adjuster, underwriter or loss control specialist realizes how beneficial advanced education is for an understanding of the industry and the ability to hone skills in applying that knowledge.
Education is so valued within the industry that most companies will pay for classes, textbooks and exams in order to support employees in their careers. Some may even give bonuses for passing classes.
Related: Bridging the talent gap
There are many organizations providing such education on a state and local level, in addition to the national providers. What follows is a brief list of some of the major national designations and their providers:
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|PLCS, CLCS and SBCS
The National Underwriter Co., based in Erlanger, Kentucky, has three such designations.
The first is Personal Lines Coverage Specialist, PLCS. Designed for new and experienced professionals alike, it provides solid foundational and specialized knowledge necessary to understand personal lines coverages starting with insurance principles and explaining in depth homeowners, auto and umbrella coverages. This is the only designation available dealing with personal lines to such an extent. Six online courses are provided allowing the student to fully master complex content. An in depth knowledge of this information is key for anyone hoping to specialize in personal lines. The content is written by editors of FC&S Bulletins, well-respected providers of insurance policy interpretation for more than 80 years. Continuing education credits are available.
CLCS, Commercial Lines Coverage Specialist, is designed to give expert knowledge of the fundamental commercial lines of coverage, general liability, commercial property, workers compensation and business auto, as well as insurance principles. The coverage guides give complete analysis of commonly used coverage forms. As with PLCS, content is written by the editors of FC&S Bulletins, and continuing education credits are available.
The SBCS, Small Business Coverage Specialist, is the only designation of its kind. It focuses on the particular coverage needs of small businesses and how to provide them using common policy forms. It combines personal lines and commercial lines forms, because small businesses may be home-based or could need commercial coverage. This designation explains when to use which type of coverage, and is also written by the editors of FC&S Bulletins with continuing education credits available.
(The National Underwriter Co. is owned by ALM Media, parent company of PropertyCasualty360.com)
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|CPCU, AIC, ARM, ACSR, AAI, AIDA and AIS
The American Institute for Chartered Property Casualty Underwriters — better known as "the Institutes" — is a large organization, based in Malvern, Pa., that provides classes for a variety of designations; some may simply be certificate classes, while others confer a designation. All are geared toward the property and casualty side of the industry.
The most well-known and respected designation is CPCU, Chartered Property Casualty Underwriter. The designation consists of four foundation courses, three courses from either the personal lines or commercial lines concentration, one elective and one ethics course. The foundational courses cover basics in the industry of risk management, accounting, insurance operations and law. The concentrated courses provide basics in personal or commercial lines. Continuing education credits are available.
The Institutes also have a variety of other designations specific to claims (AIC), risk management (ARM), customer service representative (ACSR), insurance advisor (AAI), data analytics (AIDA), insurance services (AIS), cyber risk management and others. In addition, the Institutes provides designations for an Associate in Risk Management — ERM, an Associate in Commercial Underwriting (AU), an Associate in Management (AIM), an Associate in Information Technology (AIT), and an Associate in Insurance Accounting and Finance (AIAF).
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|CIC, CRM, CSRM, CPRM and CISR
The National Alliance for Insurance Education & Research, located in Austin, Texas, has a number of designations as well, most notably the CIC, Certified Insurance Counselor.
Core courses are required in order to obtain the designation, including personal and commercial lines, life and health, and agency management. In order to maintain the designation, one of a variety of programs must be attended annually. Solid foundational knowledge is provided for key elements of insurance coverage, using the ISO forms. Life and health designations are available as well.
The Certified Risk Managers (CRM) designation is designed to demonstrate that that the insurance professional is knowledgeable in all areas of managing risks, hazards, and exposures. The Certified School Risk Managers (CSRM) Program is intended for risk management specialists working with schools, colleges and universities.
CPRM, Certified Personal Risk Manager, is the newest designation program of the National Alliance with a purpose of training the insurance and risk management communities to better serve the high net worth and affluent client. The program contains a combination of risk management, technical expertise, and account development.
The National Alliance also offers the CISR, Certified Insurance Service Representative designation for those whose main function is customer service.
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|RF and CRM
For risk management professionals, RIMS, the risk management society, the most prestigious designation is the RIMS Fellow, RF.
This requires completion of three college-level courses in risk management or earning one of the following designations: ARM Associate in Risk Management, CRM Canadian Risk Management, CRM Certified Risk Manager, and ALARYS AIRM, the Latin American designation.
Also required is five years' experience in the industry, four courses in business acumen, and attendance at 12 days of RIMS Fellow workshops or equivalent online courses. In order to maintain the designation credits, must be obtained by attending two days of RIMS Fellow workshops and participating in certain professional activity, such as speaking, teaching, publishing articles or attending conferences and seminars.
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|SCLA
The American Educational Institute has a number of designations for claims professionals dealing with claims handling and claims law.
There are two basic classes on claims fraud fundamentals and fundamentals in coverage and claims law. There are six programs each with a number of courses designed to provide comprehensive knowledge of claims law, liability, property, workers compensation, fraud and auto claims coverage and principles.
Completion of these classes gives you a specialist designation for the given topic: legal principles, casualty claim law, property claim law, workers compensation claim law, fraud claim law and automobile claim law. Associate designations combine the legal principles program with any of the other claim law programs.
In order to receive the Senior Claim Law Associate designation (SCLA), an individual must complete a class on legal principles and three other claim law programs.
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|CLP, CIIP and DAE
The International Association of Insurance Professionals has three designations:
- Certified Leadership Professional (CLP), with classes surrounding leadership and management skills.
- Certified Insurance Industry Professional (CIIP), which requires completion of 16 hours of classes and completion of another industry designation or program along with time in the industry.
- Diversified Advanced Education (DAE), which requires that you complete 12 hours of classes, have an industry designation, participate in IAIP leadership events and complete of one of IAIP's ethics programs.
Related: 12 ways to engage millennials in insurance and finance careers
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|Fraud and compliance
Fraud is such an issue within the industry that there are designations for those dealing with fraud.
The Association of Certified Fraud Examiners has a Certified Fraud Examiner designation. Not specific to insurance, the designation course covers financial transactions and fraud schemes, law, investigation, and fraud prevention and deterrence. As with most designations, an exam is required.
The National Health Care Anti-Fraud Association has the Accredited Healthcare Fraud Investigator (AHFI) designation. Requirements include 75 hours of training or teaching on healthcare fraud and passing the required exam. An Investigator's Boot Camp is available for training.
The Association of Insurance Compliance Professionals, located in Reston, Virginia, currently offers two programs: the Associate Compliance Professional (ACP) and the Certified Compliance Professional (CCP), as well as a continuing education program. Each of the programs follows a regulatory, life, annuity, health or property and casualty concentration.
Related: The changing face of fraud
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