Download Careers in the Insurance Industry

CAREERS IN THE
INSURANCE INDUSTRY
by
Laura Kinchen
CAREERS IN INSURANCE: 3
SEGMENTS
Three Segments of Insurance
Company Operations

Underwriting

Marketing

Claims
CAREERS IN INSURANCE
UNDERWRITING
 Determines:
•
who an insurance company’s customers will be
•
what the companies’ products will be
•
at what price those products will be sold
WHAT IS AN UNDERWRITER?
•
Decides whether insurance is provided
•
Identifies and calculates the risk of loss from
policyholders
•
Determines appropriate premium
•
Determines policy terms and conditions
CAREERS IN INSURANCE
UNDERWRITING
 Line
Underwriter
•
Responsible for the day-to-day decisions
•
Must refer to the insurer’s underwriting
guidelines
 Underwriting
Management
•
Sets the company guidelines for underwriting
•
Delegates underwriting authority
CAREERS IN INSURANCE
UNDERWRITING
 Actuary
•
assess the risk of events occurring and help
create policies for businesses and clients that
minimize the cost of that risk
•
estimate the probability and likely cost to the
company of an event such as death, sickness,
injury, disability, or loss of property
CAREERS IN INSURANCE
MARKETING

The process of identifying potential customers
and then creating and supplying the products
and services they need
CAREERS IN INSURANCE
MARKETING
 Four
types of distribution systems
•
Independent agency
•
Exclusive agency
•
Direct writing
•
Direct response
CAREERS IN INSURANCE
MARKETING
 Independent

Agency
Independent agents are in business for
themselves and usually represent several
different insurance companies
CAREERS IN INSURANCE
MARKETING
 Exclusive

Agency
Exclusive agents are in business for
themselves but are contracted to do business
with only one company
CAREERS IN INSURANCE
MARKETING
 Direct

Writing
Direct writers are employed by an insurance
company and rely on personal contact, direct
mail, the internet, or telephone contact with
the customer for their business
CAREERS IN INSURANCE
MARKETING
 Direct

Response
Direct writers are employed by an insurance
company and rely solely on direct mail, the
internet, or telephone contact with the
customer for their business
CAREERS IN INSURANCE
MARKETING
 Advertising

Insurance companies use traditional
advertising campaigns such as television,
radio, magazine, mail and the internet

Insurance companies also rely on local agents
to advertise the company
CAREERS IN INSURANCE CLAIMS
 Insurance

Claims
A claim is a demand by a person or business
seeking to recover from an insurance company for
a loss that might be covered by an insurance
policy
WHAT IS A CLAIMS ADJUSTER?
•
plan and schedule the work required to process a
claim
•
investigate claims by interviewing the claimant
and witnesses, consulting police and hospital
records, and inspecting property damage to
determine how much the company should pay for
the loss
WHAT IS A COST ESTIMATOR?


develop the cost information that business
owners and managers need to make a bid for a
contract or to decide on the profitability of a
proposed new project or product.
determine which endeavors are making a profit
CAREERS IN INSURANCE CLAIMS
 Responsibilities
of a Claim Adjuster
•
To respond promptly when a claim is submitted
•
To obtain adequate information
•
To properly evaluate the claim
•
To treat all parties fairly
ADVANTAGES TO A CAREER IN
INSURANCE
 Recognition

Insurance professionals lead businesses and
communities
 Rewards

Competitive compensation matches job
satisfaction
ADVANTAGES TO A CAREER IN
INSURANCE
 Flexibility

The industry invites people to take charge and
work at their own pace in any location
 Challenge

People in insurance make a difference by
solving problems and helping people
ADVANTAGES TO A CAREER IN
INSURANCE
 Variety

Every day is a new adventure. The work is as
varied as the customers' needs
 Advancement

Self-motivated, skilled people
advance quickly