AICPCU PowerPointTemplateJune03

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IISA Annual Conference 2009 Presented by Peter L.
Miller, CPCUJune, 29, 2009 Sun City,
Pilanesberg, South Africa
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Going Where the Rocks are.

• Angola
• Mozambique

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PRIDE

• Professionalism
• Research
• Insurance
• Development
• Education

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My Thoughts for you Today

• Insurance industry overview
• Recent research findings
• New developments at the Institutes

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Kevin J. Cahill

• The primary cause of the panic was the unstable
• financial system that allowed questionable
• financial practices by unscrupulous
• businessmen.

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Bankers Panic

• The 1907 Bankers
• Panic is similar to
• what we are
• experiencing
• today.

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IIA 100th Anniversary

• In the midst of an
• economic recovery,
• the Insurance Institute
• of America was
• founded in April 1909.

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Economic Challenges
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The Bubble in the U.S. Housing Market Burst
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Max Sisulu

• It is a law of life that
• problems arise when
• conditions are there for
• their solution.

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IIA Founding Members

• The seven founding members of the IIA recognized
• an opportunity to restore trust in
  property-casualty
• insurance through promoting professional
• development.

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Current State of the Economy
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The U.S. Economic Downturn Spread Internationally
In Recession
Expansion
At Risk
No Data
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Insurance Research Council
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• 3.2 Million

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As Mortgage Rates Reset, Foreclosures Spiked
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• -54

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• -8.9

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U.S. Consumers Lost Faith in the Economy

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• 14.5 Million

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As Revenues Declined, Business Needed to Cut Costs
Cumulative job losses, ths
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(No Transcript)
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Good News, Bad News

• 6.1

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9 - 5 - 14
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IRC The Economic Downturn and Uninsured Motorists
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The Good News

• More than 80 of respondents were pessimistic
  about the economy, but have a favorable view of
  insurance companies
• More than 70 thought insurers were as strong as
  or stronger than banks and other financial
  institutions
• Respondents viewed insurance companies as less
  vulnerable than banks to systemic risks

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Some More Encouraging News
Profitable Industry
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Some More Encouraging News
Strongly Capitalized
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• the overall industry is sufficiently
  capitalized to absorb the challenges posed by the
  cyclical nature of underwriting and the
  volatility in the financial markets.

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What Does This Mean?

• Insurance companies must be creative to get
  customers back
• Insurance companies need a workforce that
  understands the intricacies of insurance
• Insurance companies must strategically align
  professional development plans in support of
  organizational goals

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Now is the Time to Invest in Your Employees

• Increases employeeloyalty
• Builds the technicalcompetency of yourworkforce

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Ronald Harwood

• Its easier to climb up
• than to just hang on.

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What
How
Work Smart
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Our Model
Customers Required Technical Insurance Knowledge
Designations, CPCU, Associate Programs, INTRO
Custom Courses or Services
Learning Objects
Customers Current Technical Insurance Knowledge
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Insurance Financial Dynamics

• Strengthens organizational performance
• Builds manager confidence
• Increases efficiency
• Improves alignment of personal performance goals
  and organizational strategy

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Organizations Face Many Risks

• Risk to reputation
• Supply chain risk
• Project risk management
• Regulatory risks
• Political risks

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Enterprise-Wide Risk Management
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Enterprise-Wide Risk Management

• Participants will learn to
• Prepare their organizations to meet rating agency
  requirements
• Help their organizations make better informed
  business decisions
• Position the ERM program for success
• Communicate and consult more effectively

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According to III

• culture of control and accountability
• on-going testing and assurance of expanded and
  effective compliance programs
• focus on customer needs
• balance risks and controls with process
  efficiency and effectiveness
• compete globally, or excel within niche or
  specialty markets

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Keys to Success

• Successful insurance
• companies must incorporate
• strategically aligned
• professional development into
• their organizational planning.

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720 Providence Road Suite 100 Malvern, PA
19355-3433Phone [phone] Fax (610)
640-9576 www.aicpcu.org