ISR Agency Operations: A Comprehensive
C
Overview
Table of Contents
1. Ethics in Agency Operations
○ Definitions and Benefits of Ethical Behavior
○ Ethical Dilemmas and Industry Regulation
○ Ethical Decision-Making Process
2. Legal Duties and Agent Authority
○ Criteria for Legal Duties
○ Types of Agent Authority
○ Care Owed to Companies and Customers
3. Agency Structure and Business Practices
○ Licensing and Continuing Education
○ Defining Agency Expectations and Culture
○ Factors Impacting Agency Operations
○ Agency Revenue Streams and Growth Strategies
○ Workforce Duties and Position Descriptions
○ Agency Stakeholders
4. Insurance Company Dynamics and Risk Management
○ Insurance Company Ownership and Distribution
○ Expectations Between Agencies and Companies
○ Monitoring Financial Stability
○ Admitted vs. Non-Admitted Insurers
,
○ lternative Markets
A
○ Reinsurance
○ The Risk Management Process
○ Agency Systems, Procedures, and Quality Control
1.Ethics in Agency Operations
Definitions and Benefits of Ethical Behavior
1. What are the 3 definitions of Ethics?
1. The rules of conduct governing a particular class of human actions
or a particular group, culture, etc. (Webster's College Dictionary)
2. A discipline dealing with good and evil and moral duty.
3. Right vs. right(both possibilities have value andmerit, yet one
must be selected over the other).
2. What are 3 benefits of ethical behavior?
1. Public trust & confidencegained.
2. Governmentregulation avoided.
3. Enhanced credibilitygained.
3. Why would an agent want to gain public trust & confidence,
establishing a reputation for being trustworthy?Thisprovides both the
agent and agency the opportunity to be recognized asknowledgeable
and sound. This helps with sales and overall financialstatus.
Ethical Dilemmas and Industry Regulation
4. What are 3 examples of industry regulation?
1. Limitationson how credit scoring is used in underwriting.
2. Trust account fiduciary rules.
3. Unfair trade practices acts.
5. How can an insurance agent bend the rules with vehicle usage?For
example, classifyingpleasure use vs. driving to andfrom work3-5
miles each day.
6. How can an insurance agent bend the rules with protection classes?
For example, using aprotection class of 3 vs. protectionclass 9 or 10
(in the middle of nowhere = more $).
7. How can an insurance agent bend the rules with property values?
Intentionallyunderinsuring a homeor relying on extendedreplacement
cost coverage.
C
Overview
Table of Contents
1. Ethics in Agency Operations
○ Definitions and Benefits of Ethical Behavior
○ Ethical Dilemmas and Industry Regulation
○ Ethical Decision-Making Process
2. Legal Duties and Agent Authority
○ Criteria for Legal Duties
○ Types of Agent Authority
○ Care Owed to Companies and Customers
3. Agency Structure and Business Practices
○ Licensing and Continuing Education
○ Defining Agency Expectations and Culture
○ Factors Impacting Agency Operations
○ Agency Revenue Streams and Growth Strategies
○ Workforce Duties and Position Descriptions
○ Agency Stakeholders
4. Insurance Company Dynamics and Risk Management
○ Insurance Company Ownership and Distribution
○ Expectations Between Agencies and Companies
○ Monitoring Financial Stability
○ Admitted vs. Non-Admitted Insurers
,
○ lternative Markets
A
○ Reinsurance
○ The Risk Management Process
○ Agency Systems, Procedures, and Quality Control
1.Ethics in Agency Operations
Definitions and Benefits of Ethical Behavior
1. What are the 3 definitions of Ethics?
1. The rules of conduct governing a particular class of human actions
or a particular group, culture, etc. (Webster's College Dictionary)
2. A discipline dealing with good and evil and moral duty.
3. Right vs. right(both possibilities have value andmerit, yet one
must be selected over the other).
2. What are 3 benefits of ethical behavior?
1. Public trust & confidencegained.
2. Governmentregulation avoided.
3. Enhanced credibilitygained.
3. Why would an agent want to gain public trust & confidence,
establishing a reputation for being trustworthy?Thisprovides both the
agent and agency the opportunity to be recognized asknowledgeable
and sound. This helps with sales and overall financialstatus.
Ethical Dilemmas and Industry Regulation
4. What are 3 examples of industry regulation?
1. Limitationson how credit scoring is used in underwriting.
2. Trust account fiduciary rules.
3. Unfair trade practices acts.
5. How can an insurance agent bend the rules with vehicle usage?For
example, classifyingpleasure use vs. driving to andfrom work3-5
miles each day.
6. How can an insurance agent bend the rules with protection classes?
For example, using aprotection class of 3 vs. protectionclass 9 or 10
(in the middle of nowhere = more $).
7. How can an insurance agent bend the rules with property values?
Intentionallyunderinsuring a homeor relying on extendedreplacement
cost coverage.
