COURSE OBJECTIVES

In this course, you will learn to:

• Describe how life insurance companies operate in today’s global environment — how they are organized and managed, and the roles specific functional and support units play in developing, distributing, issuing, and administering life insurance and annuity products.
• Explain traditional ways that insurers organize operations and organizational concepts such as authority, responsibility, accountability, chain of command, delegation, centralized organizations, and decentralized organizations.
• Describe types of customer-related confidential information and how insurance company employees should handle such information to comply with privacy and confidentiality requirements, as well as ethics and regulatory guidelines.
• Understand the differences between legal functions and compliance functions, including how each is organized, resolves disputes, and conforms to market conduct protocols.
• Describe how human resources (HR) organizations are typically organized and their primary responsibilities, notably planning and staffing, training, performance evaluation standards, and oversight of compensation and benefits programs.
• Identify the main elements in information management, including databases, database management systems, data warehouses, document management systems, and workflow management systems.
• Describe how business intelligence, business analytics, and expert systems are used in insurance companies.
• Describe common risks life insurance companies face and the risk management techniques deployed (i.e., diversification, hedging, expense, and enterprise risk management).
• Describe the different types of financial accounting — premium accounting, investment accounting, general accounting, and tax accounting — and distinguish among Generally Accepted Accounting Principles (GAAP), statutory accounting practices, and International Financial Reporting Standards (IFRS).
• Discuss the product development process — generating and screening ideas for new products, product implementation, and monitoring, evaluating, and using feedback to improve product offerings.
• Identify the benefits to insurers of providing effective customer service, including typical customer service department organization, and the tools that automate and simplify customer service delivery.
• Explain why effective claim administration is critical to an insurer’s success in guiding claim practices, as well as the steps taken in evaluating a typical claim, and any “red flags” that indicate potentially fraudulent claims.

COURSE FORMAT

• Course portals include the following elements:
• All the assigned study materials needed for the course
• Interactive practice questions and sample exams
• Recommended study plans to help you set goals and manage your study schedule
• Additional media and features to help in the study and review process

EXAM FORMAT

• The LOMA 290 proctored exam has 60 questions and a time limit of 2 hours. It is available in I*STAR and paper exam formats.

STUDY MATERIALS

• Insurance Company Operations, Third Edition (LOMA, 2012)

      ISBN 978-1-57974-380-2

• Test Preparation Guide for LOMA 290 (LOMA, 2012)

      ISBN 978-1-57974-381-9

• Insurance Company Operations, Third Edition (LOMA, 2012)

      ISBN 978-1-57974-380-2

TOPICS:

• Insurance Company Organization and Operations
• Corporate Governance, Ethics, and Control
• Risk and Risk Management
• Legal and Compliance
• Human Resources Management
• Information and Technology
• Financial Management
• Accounting, Treasury Operations, and Auditing
• Investment Management
• Marketing
• Product Development
• Product Distribution
• New Business and Underwriting
• Claim and Annuity Benefit Administration
• Customer Service