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Originally Posted On: AAI Designation: The Certification You Need – Agency Height
Accredited Advisor in Insurance (AAI) is a special designation for an insurance producer. A career as an insurance agent may be lucrative, but acquiring one can cause your career to skyrocket. The insurance industry houses numerous insurance agents with stellar qualifications and years of experience. But in an ever-evolving market, you always need to be ready to take the next step forward.
What is an AAI Designation?
AAI is a designation for highly skilled and experienced insurance professionals. Earning this title will subsequently provide insurance producers a better understanding of customer service, and ultimately better salaries. So, to earn this, all insurance producers need to take three modules, complete their respective exams, and take an online Ethics course.
The AAI program was a collaborative effort between the Insurance Institute of America and the Independent Insurance Agents and Brokers of America. The goal of introducing this program was to produce more informed as well as experienced individuals in the insurance sector especially to prevent insurance fraud.
That is to say, an insurance producer with AAI designation is better equipped to provide their clients with quality service and find the different types of insurance, while weeding out suspicious clients.
Why do insurance producers need an AAI designation?
Achieving the designation requires you to complete highly advanced courses that will aid you in your career growth. Here are some of the things you can expect to gain from an AAI course:
- Completing the complete AAI coursework helps insurance producers avoid Errors and Omissions claims.
- All three modules of the AAI coursework provide insurance producers with detailed information about policies and coverages.
- Insurance producers with an AAI designation also stand out from the competition even between other highly experienced individuals.
- The coursework also builds the agents’ marketing, insurance sales, and insurance production abilities.
- AAI professionals are better trained to offer quality customer service and customize insurance policies according to the client’s needs.
An insurance agent benefits a lot professionally from getting a designation, as it gives them a lot of information about the industry. Thus, it enables them to understand their clients’ wants, identify their needs, as well as bring tailored policies to the table t0 sell more insurance. AAI gives better training to individuals for providing quality customer service. They have a detailed knowledge of insurance policies as well as how to manage risks.
While these benefits are focused more on the clients, an AAI designation will also provide you with knowledge of avoiding errors and omissions claims. Therefore, it is always a good idea to protect yourself against errors and omissions claims.
Program Requirements for an AAI Designation
Insurance producers need to complete the three modules of the AAI course by passing a series of examinations. Altogether, these courses will take about 9-15 months of your time. Each course is in English and takes about 5-7 weeks to complete. In brief, here’s a list of the three modules in the AAI course and a few of the topics covered in each module:
AAI 81 Module
- The insurance business: an overview
- Risk Management
- Life Insurance
- Homeowners Insurance
- Account development
AAI 82 Module
- Commercial crime insurance
- Surety bonds
- Excess and umbrella liability insurance
- Business owners and farm insurance
- Commercial liability insurance
- Commercial auto insurance
AAI 83 Module
- Ethics and professionalism
- Producer-insurer relations
- Client service management
- Market segmentation and product targeting
- Personal production planning
- Sales management principles
Additionally, producers must take at least one Ethics class to be eligible for an AAI designation. Of course, The Institutes Risk & Insurance Knowledge Group offers Ethics courses at no cost.
Other Insurance Designation Options for Insurance Producers
The AAI program is the most comprehensive designation program and doesn’t require annual updates. However, if insurance producers would like to earn more designations, there are a number of programs to choose from, and earning it will even earn you credits towards some designations that are valued by modern and traditional insurers equally.
These courses focus on providing risk management as well as customer service-oriented education to insurance producers. Additionally, these programs are designed to educate the producers with top-of-the-line skills at handling all complications at work. The Institutes offers some of these other designations:
- Chartered Property Casualty Underwriter (CPCU)
- Associate in Risk Management (ARM)
- Associate in Claims (AIC)
- Accredited Advisor in Insurance Management (AAI-M)
- Associate in Commercial Underwriter (AU)
These designations also enable insurance producers to enhance their technical skills and prepare for the constantly evolving insurance industry.
Your career as an insurance agent may be going great, but there are some key benefits from acquiring an AAI designation. The insurance industry is highly competitive, so it is good to keep yourself updated with new programs and courses. Also, the designation program is designed to create highly knowledgeable and technically skilled agents, who are fit to evaluate risks and provide tailored policies to their clients.
In conclusion, an AAI designation better equips insurance producers to perform daily tasks, serve clients properly, and also avoid unnecessary errors & omissions lawsuits that could be coming their way.
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