Stay ahead in the RMI landscape with expert insights, practical tips, and innovative solutions designed to help you elevate your career and drive organizational success.
Angela Pilotti, CPCU, ARe
Are you planning to take an Institutes Designations’ exam soon? It’s natural to be a little nervous, but with the right strategies, you can feel confident and ready to succeed...
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Introducing the Assignment Assistant: Your AI-Powered Study Partner
By Adam Carmichael, CPCUStudying for a designation can be both rewarding and challenging. Many learners tell us they spend extra time searching for explanations, looking up examples, or re-reading tough concepts when studying their assignments.
That’s why we’re excited to introduce the Assignment Assistant—a new AI-powered tool built right into CPCU and AIC courses to help you study smarter, not harder.
The Assignment Assistant is an AI-driven study companion designed specifically for The Institutes’ designation courses. Unlike generic AI tools, it’s trained on our course materials, ensuring you get accurate, course-specific guidance aligned with your learning objectives.
If you select the course package that includes the Assignment Assistant, it’s available directly in your CPCU and AIC course dashboard and ready to use whenever you are.
The Assignment Assistant was designed to make your study journey more efficient. It’s not here to replace the effort you put into mastering your material—it’s here to make that effort more effective.
By removing barriers and saving you time, the tool helps you stay on track, boost your confidence, and get the most out of your learning experience.
If you already have this course package, accessing the Assignment Assistant is simple—just open it directly from your AIC or CPCU course dashboard. Give it a try on your next assignment and see how much time you can save.
Launch the Assignment Assistant Now
Are you currently a CPCU or AIC student, or looking to start either program? Learn more about this new, exciting tool and find out if it’s for you!
The Value of Investing in Professional Development: Q&A with Pennsylvania Lumbermens Mutual
By Skills Edge TeamOffering professional development is no longer a nice-to-have-perk, it’s a strategic competitive advantage that drives everything from bottom-line results to employee recruitment and retention. In fact, 94% of employees say they would stay at a company longer if it invested in their career development, according to LinkedIn’s Workplace Learning Report.
The Institutes had the opportunity to speak to board member and Pennsylvania Lumbermens Mutual Insurance Co. President and CEO John Smith, CPCU, ARM, ARe, AIS about his organization’s investment in professional development. In the Q&A that follows, Smith shares PLM’s viewpoint on the value of learning and development, the measurable outcomes they've seen, and why they’ve made education a cornerstone of their talent strategy.
John Smith: Our commitment to education and development is not based on a desire to hang up a lot of certificates; it stems from the belief that the company with the best people, at the end of the day, wins.
We believe the true value of an insurance program lies not in its price, but in the caliber of professionals who deliver exceptional expertise and service. Furthermore, we are committed to continuous learning, recognizing that without it, the competition will inevitably close the gap.
JS: Participating in our education program is mandatory for all employees (yes, even me). We’re proud to say that 100% of our team has engaged in continuing education, with some returning to formal learning for the first time in years.
Last year, our team of approximately 170 people took 196 Institutes designation exams. As a result, we earned 53 Institutes Designations, including several who earned CPCU®. Members of our senior leadership team are among those who completed the CPCU designation, including one member who started their CPCU program in 1986. I’ll never forget the emotion in his voice when he called, in tears, to share that he had passed the final part of the designation.
JS: We do weekly in-house training sessions, provide personal employee coaches, and we send people to external classes run by reinsurers, NAMIC, APCIA, and many of our industry partners.
Our leadership training is conducted by the Center for Creative Leadership. This allows our people to engage with professionals outside the insurance industry, helping to broaden their perspectives and strengthen their leadership capabilities. More recently, we’ve also begun working with the International Cooperative and Mutual Insurance Federation (ICMIF) to provide our leaders with valuable international experience.
In the right circumstances, we will pay for advanced degrees in their entirety and freely invest in a set budget for anyone pursuing an undergraduate or a graduate degree.
JS: We maintain exceptionally high policy and premium retention rates and have achieved an underwriting profit in eight of the past ten years, alongside an operating profit in all of the ten years. Our education program, now in its sixth year and managed by a dedicated full-time leader, has played a significant role in this success.
More importantly, we are attracting new talent to PLM in part due to the program. I can’t recall a single instance where a candidate withdrew from the interview process because of our mandatory education requirement.
Additionally, we recently launched a succession plan built entirely around internal candidates, further demonstrating our long-term investment in developing and retaining top talent.
What Are the Best Study Tips for The Institutes Designations’ Exams?
By Angela Pilotti, CPCU, AReAre you planning to take an Institutes Designations’ exam soon? It’s natural to be a little nervous, but with the right strategies, you can feel confident and ready to succeed. Below, we’ve outlined 10 practical study tips to help you stay motivated, retain information, and apply what you’ve learned on exam day.
Important: These exams aren’t about memorization. They're designed to assess how well you apply knowledge in real-world scenarios.
Stay Motivated by Keeping Your “Why” in Mind
Use visual reminders—like Post-it notes or screensavers—to keep your goals front and center. Whether you're aiming for career advancement, personal growth, or improved job performance, connecting your study efforts to your larger purpose can help keep you on track. Share your goals with friends or family so they can support you.
You’re part of a field that helps people overcome life’s unexpected challenges. That purpose alone is a powerful motivator.
Build a Realistic Study Schedule
Research shows cramming at the last minute doesn’t support long-term retention—and it works against how Institutes Designations’ exams are structured. These exams assess applied knowledge.
Create a study schedule with clear milestones and SMART goals (specific, measurable, achievable, relevant, and time-bound). Use the printable study outline in each course, which includes key points, review questions, and space for notes. You can also track your progress and quiz results within your course to see where you stand.
Minimize Distractions
Find a quiet space, put your phone on do-not-disturb, and let family or friends know to respect your study time without distractions. Grab anything you might need—not just a pen and notebook—but also things like a full water bottle and a nutritious snack so you don’t have to get up and then try to settle back into study mode.
Beth Illian, a working parent who earned her CPCU®, AINS®, and AIS™ shared her routine to accomplish this. She would always study in the evening, after her kids were in bed, with a cup of tea and a stack of pretzels at the dining room table. This was a “signal to her brain” that this was the time to switch off from the day and study.
Focus on the Educational Objectives
Mike Bronzino, Managing Director of Exam Integrity for The Institutes, earned his CPCU®, ARM™, AIM™, ARe™, and AMIM® designations prior to joining The Institutes. That's more than 25 Institutes Designations’ exams completed, and he highly recommends you focus your study efforts on the educational objectives. These are the central themes of the course material. Exam questions directly relate to the real-world application of these course objectives. If you focus only on facts or terminology, you’ll miss the bigger picture.
Leverage the Study Tools in Your Course Materials
All designations courses include proven, comprehensive study materials to help you take the exam with confidence. In addition to the printable study outline with key points and review questions, you also have access to the following:
NEW: All CPCU and AIC course options now include hundreds of interactive exam practice questions that pull directly from the course content. You can also choose a package with an AI Assignment Assistant that adapts to your preferred learning style.
Expect a Variety of Question Types
Your exam will include multiple different question formats. Understanding these formats will help you feel confident and prepared.
In addition to multiple choice, your exam may include fill-in-the-blank, drag-and-drop, and numeric-entry questions. These are designed to help you better understand, retain, and apply course content while preparing you for real-world scenarios.
Join The Institutes’ Chat on Facebook
The Institutes' Chat on Facebook is The Institutes Knowledge Group’s office page and the place to connect with other students. Find a study partner, share tips, and celebrate milestones together. It’s easier to stay accountable and motivated when you're part of a community.
You’ll also see questions from other learners that can spark new ways of thinking and deepen your understanding, especially when you're tackling tough concepts.
Explain Concepts Out Loud
One of the best ways to reinforce your learning is to explain key concepts to someone else, as if you're teaching them. This practice, also known as the protégé effect or the Feynman Technique, helps you identify gaps in your understanding and deepens retention by forcing you to put the ideas into your own words.
Even if you don’t have a study partner, you can do this by speaking out loud to yourself or writing out an explanation in a notebook. The goal isn’t perfection; it’s about practicing how you apply the concepts, which is exactly what the exam will ask you to do.
Review Areas for Improvement
As you get closer to exam day, take time to focus on the areas that challenged you the most. Use your quiz results and course progress indicators to identify areas for improvement. But don't just reread the material. Focus on applying the concepts to real-life scenarios—just like you'll do on the exam.
Have Your Tech Ready
All exams now include virtual proctoring to maintain the value and integrity of your hard-earned Institutes Designation. You still have the same flexibility of testing anywhere, anytime, now with added security. Just ensure you're familiar with the requirements and have a reliable internet connection to complete your exam without interruption.
We recommend you test your equipment at least 48 hours before your exam.
With the right tools, a clear plan, and consistent prep, you’re not just studying for an exam—you’re building your future in risk management and insurance. These exams are designed to evaluate how well you apply knowledge, not memorize facts. Every question is an opportunity to demonstrate your understanding and your growth.
Need more support? Visit our Exam Prep Center for more tips and answers to common questions.
* Based on analysis of CPCU®, AINS®, and ARM™ student exam results versus exam-preparation methodologies, 2020-2021.
Guiding Insurance Toward a Smarter, Safer Future: Interview with Peter Miller, The Institutes President & CEO
By Skills Edge TeamNew technologies are transforming the risk management and insurance landscape at a rapid pace, and this ever-changing environment is pushing organizations to innovate alongside it. Peter L. Miller, CPCU, President and CEO of The Institutes recently sat down with John Weber from AM Best TV to discuss how AI, blockchain, and predictive technologies are reshaping risk management, enabling proactive loss prevention, and reinforcing the sector's ethical and educational foundation.
Check out a few highlights from this conversation below, and watch the full interview on AM Best’s website.
Peter Miller: It's changing a lot. We've talked for a long time about a concept we call the golden triangle, and that is really coming to fruition. The idea is that there's now more data, and you can have better access to it through cloud services. The source of data is increasingly Internet of Things (IoT) devices—sensors or other devices that feed a stream of data into cloud services—and then advanced analytics and AI that can analyze that data, make sense of it, and do things proactively.
There's a lot in the news about generative AI and different types of AI. That lives on data, and the ability to have more data and more computing power in these cloud services. The insurance sector is really starting to take advantage of that. What we're after is to be able to predict and prevent losses—because the best loss is the one that never occurs—so that we can provide better service to customers.
PM: I think it is in this predict and prevent capability—the ability to identify a risk and determine what we can do to avoid loss associated with that risk. There are all kinds of technology and startups that can gain insight and then take preventative action.
I've talked to several different startups. There's one called BurnBot that analyzes forests and other places where there's wildfire risk, and they'll do preventative targeted burns. It's a really cool idea because there are predictable patterns in how some of these fires spread. Another company called Faura is able to gain really detailed information through satellite images and provide a score for a particular property right down to the property level, along with mitigation recommendations.
We're now able to take much more detailed satellite images, combine them with data sources, and then get very specific on the risk for a particular property. There are also organizations that work with fire departments to identify risks in their area and help homeowners prevent or mitigate those risks.
It's really interesting because people are starting to focus on risk mitigation, which is extremely important as inflation causes replacement costs to go up, creating a protection gap. The future involves recognizing there's not enough premium to cover all potential losses, so we need to figure out how to mitigate losses before they happen. This creates a broader spectrum activity: risk management at the front end in the form of predict and prevent, and then indemnity to pay for losses when they occur. The combination of these two represents a real opportunity for insurance organizations.
PM: The Institutes RiskStream Collaborative is an organization we started some time ago to work on blockchain technology. As part of that cloud leg in the golden triangle, you have to be able to store data, use it securely, and then do something with it. RiskStream allows for a very secure way for companies to exchange data and integrate it into blockchain technologies called smart contracts.
Smart contracts can get a stream of data, interpret it, and take an action automatically. The smart contract sitting on a blockchain allows for more efficient exchange of data, but also enables parametric insurance—where you cover a risk based on some parameter. When that parameter, such as temperature or wind speed, gets above a certain level, claims are automatically paid. That reduces claim processing time and gets money into the hands of the policyholder faster.
Blockchain is an enabler of all those things. It's very secure. There are advantages going forward, both in terms of its ability to securely share data and then to execute things like parametric insurance.
PM: Yes, and in the economy as a whole. You're seeing stablecoin that's built on a blockchain, which is a medium of exchange that you'll start to see for commerce internationally. This technology has advanced to a point where it can handle transactions at a higher rate. The quality and robustness of that technology has improved considerably, and it's much more secure.
PM: I think that's partially because the tools are advancing at a really rapid rate and their ease of use. I see three ways that companies are using it. The first is office automation: summarizing an email or claim file or sending out personalized emails to all customers. AI can certainly do that.
The second is integrating AI into existing workflows. This is what I see most people doing. Where they had a non-AI tool, they're seeing they can get good returns by changing out and using different tools.
The third bucket is actual transformation. AI is going to continue to be integrated and accelerate. The capabilities and economics are such that it's going to be a compelling message, particularly in lines of business that are more commodity-based. You can certainly reduce your costs significantly.
PM: I'm very excited about the potential of generative AI. At The Institutes, we think it represents an opportunity for us to serve our customers. We teach ethics and hopefully can put an ethical mirror up to the RMI landscape saying, “These are great tools, but we're all here to help people, and we want to do that in an ethical way.”
I continue to be excited about the future of risk management and insurance because it makes people's lives better and safer. When we do that well, people can prosper and have better outcomes. Some of these new tools coming online could really help the RMI field achieve that objective. I get very excited about that.
AI Fraud in Auto Claims: Now Is the Time for Bold Collaboration
By Pete L. Miller, CPCUGenerative AI is rapidly reshaping how businesses process information, make decisions, and serve customers. But when it comes to vehicle insurance claims, it’s also amplifying a long-standing challenge: claims fraud.
Fraud in auto claims costs the U.S. property and casualty sector an estimated $45 billion annually, according to the Coalition Against Insurance Fraud. That burden adds up to about $700 in extra premiums for each household (PropertyCasualty360, May 2024). And the problem is evolving quickly: The Guardian reported a 300% increase in AI-manipulated vehicle images submitted to one UK insurer in just one year (The Guardian, May 2024). If that stat holds true, it makes deterring auto claims fraud that more urgent of an issue to address, especially because of how GenAI can be used by bad actors to manipulate claims submissions.
With GenAI, bad actors have the ability to fabricate auto claims scenarios with alarming realism, doctoring photos, swapping license plates, or creating deepfake “walkaround” videos of damage that never occurred. In one case, they digitally altered a van’s image lifted from social media to add a cracked bumper, submitting it with a fake invoice for over $1,000 in damages. Investigators discovered the untouched original online, exposing the deception (The Guardian, May 2024). Tools like metadata analysis or image forensics aren’t foolproof fail safes: metadata can be stripped or spoofed, and forensic models can struggle to keep up with the pace of new generative techniques. Meanwhile, manual claim reviews can be slow and costly to scale.
Insurtech applications of solutions like UVeye exemplify how trust can be embedded directly into the claims process. Their approach uses a three-layer system to validate vehicle condition: multi-camera scans capture detailed, frame-by-frame imagery; encrypted digital fingerprints create a tamper-proof record; and third-party oversight adds impartiality to the verification process. This isn’t just about detecting fraud after the fact; it’s about creating deterrence. By establishing a trusted vehicle history, verifying damage through a third-party, and automating assessments, this approach could reduce false claims and streamline workflows—driving both accuracy and efficiency, while also safeguarding integrity. Taken all together, these elements shift the claims process from one that reacts to deception to one that could neutralize it—while also creating a faster, fairer experience for legitimate claimants.
No single solution can address this risk on its own; collaboration among stakeholders across the risk management and insurance ecosystem is essential. That’s why The Institutes’ RiskStream Collaborative is developing scalable, systemic tools like RAPID X, which enables secure, private permissioned exchange of first-notice-of-loss data among carriers during a mutual event. At the same time, RiskStream’s AI Council brings together insurers, insurtechs, and research organizations to identify common AI use cases, such as fraud prevention, and to promote ethical, multiparty solutions that protect private data.
Together, these initiatives form the backbone of a more resilient claims ecosystem, one built on trusted data, shared standards, and aligned incentives. As generative AI continues to reshape the landscape, the industry must meet this moment with bold, coordinated action. Combating fraud is only the beginning. The real opportunity lies in transforming claims into a faster, fairer, and more secure experience for all stakeholders, insurers, service providers, and most importantly, policyholders.
Works Cited
Coalition Against Insurance Fraud, 2023 Annual Report.
Ashley Hattle-Cleminshaw, PropertyCasualty360, “Fraudsters using AI to manipulate images for false claims,” May 8, 2024. https://www.propertycasualty360.com/2024/05/08/fraudsters-using-ai-to-manipulate-images-for-false-claims
Rupert Jones, The Guardian, “Car insurance scam: fake damage added to photos,” May 2, 2024. https://www.theguardian.com/business/article/2024/may/02/car-insurance-scam-fake-damaged-added-photos-manipulated
Nicos Vekiarides, Insurance Journal, “Deepfake Fraud Is on the Rise. Here's How Insurers Can Respond,” July 17, 2024. https://www.insurancejournal.com/news/national/2024/07/17/784226.htm
UVeye Research, 2025 White Paper.
The Institutes RiskStream Collaborative: RAPID X and AI Council Initiative Overview.
How a Cyber Risk Management Framework Strengthens RMI Operations, From Underwriting to Advisory
By Diane HanlonIn an era of increasingly complex cyber-threats, organizations must be prepared for a wide range of attacks, from ransomware to cryptojacking to targeted data breaches. These risks pose a unique challenge to risk management and insurance companies, where protecting sensitive business and client information is a top priority. That’s why employee preparedness is so important. It’s a key defense not only for an organization, but also for RMI professionals who advise clients on how to manage risks.
Are your employees equipped to guide your organization and clients through the nuances of cyber risk? It’s predicted that the annual global cost of cybercrime will reach $15.63 trillion by 2029, an increase from $8.15 trillion in 2023. So the question isn’t if an organization will face cyber threats, but when. By developing a comprehensive cyber risk management framework, your team can safeguard your organization and become a trusted resource for clients.
To build confidence in handling cyber threats, it’s essential to have a cyber risk management framework in place that guides response efforts and continues to be relevant even as risks change and evolve over time. A cyber risk management framework is a structured approach to identifying, assessing, managing, and mitigating cyber risks. It provides a lasting roadmap to help companies address vulnerabilities, implement proactive safeguards, and effectively respond to incidents.
For RMI professionals, this framework can be a highly valuable tool for advising clients on effectively navigating cyber risk. These threats have grown beyond technical issues to affect the entire organization. From financial losses, to operational disruptions, to reputational damage, the consequences of a cyber-attack can be devastating to the entire organization. That’s why managing cyber risk, risk assessment, and continuous upskilling is crucial for every employee.
Despite the rise of AI and predictive modeling, your employees are the first line of defense against cyber risks. They are the guardians of your organization's data and the trusted advisors to your clients. And the best way to strengthen these crucial defenses is to incorporate robust cyber risk management training into your learning and development programs. This includes ensuring employees are familiar with your cyber risk management framework, can apply it to real-world situations, and can make practical adjustments when needed.
Consider having employees earn their Associate in Cyber Risk Management™ (ACRM™) from The Institutes Designations. This new designation is the first of its kind and is designed to help build lasting cyber resilience. Plus, investing in this specialized upskilling will not only help employees predict and prevent losses, but also grow your organization’s reputation as a leader in cyber security.
When building an effective cyber risk management framework, it’s important to account for the entire insurance value chain and continuously monitor the evolving risk landscape. Make sure your plan covers these five elements:
Risk Identification
Employees need the skills to identify vulnerabilities, both internally and for clients. By spotting risks early, they can help prevent potential issues and keep systems secure.
Integrating Cyber Exposures
Cybersecurity risks should be treated as an integrated part of any risk management strategy. Employees trained in cyber exposures can help clients see where cyber threats fit into the bigger picture.
Filling Coverage Gaps
Traditional insurance policies may fall short of fully covering cyber risks. Employees should be trained to identify these gaps, advise clients on potential vulnerabilities, and recommend better coverage options.
Incident Response
Responding quickly to a cyber-attack can make all the difference. Employees should know how to efficiently guide clients through incident response processes, minimizing damage from breaches.
Regulatory Compliance
Cyber regulations are constantly changing. Employees need to stay up to date on these rules to help clients remain compliant and avoid legal risks while securely managing threats.
Equipping your team with a strong cyber risk management framework is essential to managing cybersecurity risks. Empower your employees to invest in specialized training and upskilling with The Institutes Designations’ new Associate in Cyber Risk Management™ (ACRM™). This designation will help provide them with an adaptable framework to stay ahead of emerging cyber-attacks and better manage risks.
Enable your team to become skilled in cyber resilience strategies with the Associate in Cyber Risk Management™ (ACRM™) designation today!
The Institutes Introduce a New Designation to Meet Insurance Operations Challenges
By Skills Edge TeamAs operational models shift across risk management and insurance, carriers are increasingly turning to outsourcing partners to handle key back-office functions. At the same time, internal operations departments must adapt to meet rising expectations around speed, service, and accuracy. Across both environments, a shared need has emerged: the rapid development of insurance-specific operational expertise.
Risk & Insurance, which is affiliated with The Institutes, recently spoke with Diane Hanlon, Head of Sales and Market Development at The Institutes Knowledge Group, about what they are doing to address this need. You can read the original article on the Risk & Insurance website now.
To address this, The Institutes launched the Associate in Insurance Operations™ (AIO™) designation—a credential specifically designed to elevate workforce readiness for both insurance carriers’ internal operations teams and business process outsourcing (BPO) firms.
“Our research with more than 450 carriers and 65 outsourcing firms revealed an urgent need for standardized operational knowledge and faster employee ramp-up,” said Diane Hanlon.
The Associate in Insurance Operations designation was developed as a unifying solution, grounded in research that identified the specific skills carriers require from their operations staff—whether part of internal teams or outsourcing partners. It establishes a common standard of operational knowledge to support consistent training, enhance alignment, and promote greater efficiency across the extended insurance enterprise.
Key topics include claims and underwriting fundamentals, policy administration, and client service essentials, framed within real-world insurance workflows. The result is a practical learning experience that empowers internal teams to perform more efficiently and equips outsourcing partners with the knowledge carriers expect.
“Insurance operations professionals needed a designation that specifically addresses their unique role in the industry,” Hanlon explained. “While there are many excellent insurance designations available, there was a need for one that specifically targeted the operational knowledge required for efficient processing, enhanced client service, and streamlined workflow management.”
The Institutes Designations’ Associate in Insurance Operations is particularly suited for early-career professionals working in carrier operations, outsourcing firms, or brokerage support roles. It offers a targeted curriculum that develops both technical proficiency and essential soft skills, including critical thinking, analytical reasoning, and effective communication.
“Associate in Insurance Operations designees gain the ability to navigate policies, assess claims and applications with precision, and contribute to more seamless operations,” Hanlon added. “These are skills that translate into real business value—better service, fewer errors, and stronger reputation management.”
Designed with working professionals in mind, the AIO designation features a streamlined structure:
Each course takes approximately six to nine hours to complete. Most professionals can finish the program in three to six months, making it an efficient path to upskilling. Exams are delivered fully online, with 60-day testing windows offered throughout the year and discounted pricing for those who register early for the exam.
Upon completion, designees earn a diploma and digital badge that can be showcased across professional networks. Additionally, Associate in Insurance Operations coursework provides credit toward other Institutes Designations and may count for continuing education (CE) credits in most U.S. states.
“The Associate in Insurance Operations reflects our commitment to creating relevant, accessible solutions that meet the evolving needs of insurance operations,” said Hanlon. “It’s not just a credential—it’s a strategic asset for any organization committed to operational excellence.”
The Top Risk Management and Insurance Skills Shaping the 2025 Landscape
By Adam Carmichael, CPCU
The Impact of AI in Insurance: Transforming Claims, Underwriting, Risk Management, and More
By Adam Carmichael, CPCUThe entire risk management and insurance landscape is in the middle of a significant culture shift as artificial intelligence (AI) reshapes traditional workflows and decision-making processes. Not only is it changing business operations and efficiencies, but it’s also transforming the way professionals need to think. In fact, 77% percent of executives believe that generative AI will have a bigger impact on broader society in the next 3 to 5 years than any other emerging technology.
The adoption of AI integration into claims, underwriting, marketing, sales, and risk management is not a distant future—it’s happening today. The organizations that embrace AI in insurance functions and equip their teams with the right skills will gain a competitive edge through enhanced efficiency and predictive accuracy.
Read on to explore how AI is already impacting risk management and insurance functions, and how your organization can leverage its benefits!
There’s no arguing that AI has enabled faster and more accurate claims processing and resolutions. Virtual assistants like chatbots are improving claims transparency and handling customer inquiries faster, creating a more efficient claims experience. Behind the scenes, AI is also automating daily tasks such as fraud detection, document review, and claims triage that might otherwise go unnoticed. All of this is leading to increased customer service expectations, which can’t be met without continuous investments in these technologies.
However, the human element of claims management remains more essential than ever. While claims professionals can now invest less time in repetitive tasks, they instead need to know how to interpret AI outputs correctly to make informed decisions. This shift allows them to focus more time on complex claims that require human judgment and provide a personal touch customers still expect.
New AI-based tools, like telematics devices in vehicles and smart sensors in buildings, are analyzing IoT data to provide unprecedented granular insights that are reshaping the entire underwriting function. As a result, underwriters are transitioning from task-based work to strategic risk advisory functions. Explore what this looks like for commercial vs. personal lines underwriting processes:
Commercial Underwriting: AI and machine learning streamlines data collection, providing real-time risk insights and predictive models that change how underwriters approach their work. The most successful commercial underwriters are transitioning from manual evaluations to managing AI-driven risk analytics.
Personal Lines Underwriting: AI enables more personalized pricing, policy recommendations, and customer segmentation. Personal lines underwriters must learn to translate AI recommendations into clear explanations for customers as their focus shifts from routine assessments to exception handling and relationship management.
By leveraging the power of AI technology, marketers are more empowered than ever to take the guesswork out of their promotional strategies. Not only do predictive customer behavior models allow marketing teams to better anticipate customer needs and preferences, but other AI technology also enables hyper-focused segmentation and real-time campaign adjustments. All of this helps organizations send the right message to the right customers at the right time.
At the same time, marketers need to balance creativity with data literacy. This includes collaborating effectively with data scientists to interpret AI insights, applying analytics to creative strategy development, and understanding how to leverage AI tools for campaign optimization. By blending the art of marketing with the science of AI and data literacy, RMI professionals can speak the language of data to deliver better, measurable results.
AI tools are empowering sales teams to work smarter by prioritizing leads and helping them focus on high-value prospects. For example, generative AI is a great asset for crafting personalized proposals tailored to each client’s needs. Automated renewals reduce administrative burdens and improve retention rates. And AI-driven insights align insurance products with customer behavior and preferences.
The most successful sales professionals now combine relationship-building skills with AI literacy to better understand customer profiles and anticipate their needs. This powerful combination helps them create more meaningful and productive client relationships, while also improving the reputation of your organization.
The advancements AI has made in claims, underwriting, sales, and marketing are incredible, but the most transformative impact AI has had might be in risk assessments and management. This rapidly evolving technology is able to leverage real-time and historical data to predict risks. Wearable and IoT devices provide continuous data streams that allow for immediate risk detection and in real-time mitigation, while other AI-powered tools can predict weather-related losses and enable insurers to advise clients on preemptive measures.
AI technology has only accelerated the profound shift toward the Predict & Prevent® approach, which is focused on predicting and preventing losses before they occur, rather than responding after a loss. Now, risk management roles are evolving to focus on interpreting AI predictions and creating actionable strategies from those insights. For real-world examples of these transformations, tune into the Predict & Prevent® podcast, where RMI leaders share their experiences implementing AI-driven risk management.
AI isn't a future technology—it’s already transforming the RMI landscape today. And the most successful risk management and insurance companies are those embracing AI solutions in their day-to-day work and using it to enhance their capabilities.
By empowering your team to invest in AI skills development now, you can position your organization to be at the forefront of innovation. That's why The Institutes Knowledge Group offers standalone, introductory AI online courses that are designed specifically for various roles in risk management and insurance. In as little as one hour, your employees can build a solid foundation in AI literacy and learn how to leverage AI in their day-to-day work.
Take the next step in preparing your team for success in an AI-enhanced landscape today!
Everything You Need to Know About Taking an Online Proctored Exam
By Angela Pilotti, CPCU, AReTaking an exam is the culmination of weeks—even months—of studying and preparation. When you finally complete and pass that exam, you want to be sure that there are safeguards in place to retain the value of the designation or credential you worked so hard to earn.
That’s where virtual exam proctoring comes in. It’s a seamless, reliable way to ensure a fair and equal experience for all test takers. Through secure recording and standardized procedures, online proctoring helps maintain the same integrity as a traditional in-person test center (just with a lot more flexibility). Read on to explore everything you need to know about taking an online proctored exam, how it benefits your professional journey, and how you can be as prepared as possible when it’s time to sit down and test.
If you've taken the SATs in high school or a midterm in college, you're already familiar with how a proctored exam works. It's a standard educational practice where someone oversees the exam process to ensure fairness across all test takers. Online proctoring takes this same concept and applies it to the exams you take remotely, offering the added convenience of taking an exam in your own home, on your own time.
There are two types of virtual proctoring: live proctoring and record & review proctoring. Live proctoring is when a supervisor oversees a student take their exam in real time and most closely resembles in-person proctoring. Record & review proctoring, however, is when the assessment platform uses a remote proctoring software to record a student’s screen, webcam video, and audio as they test. Someone then manually reviews the footage afterwards as needed. This is the approach we recommend, as it provides a much less intrusive experience while still maintaining the highest standards of exam security.
Virtual exam proctoring offers several key advantages that directly benefit you as a professional, especially in risk management and insurance fields where the skills gained from specialty designations can be used on the job right away.
Protects Your Achievement: When you earn a designation, you want employers to know it truly reflects your expertise and dedication. Virtual proctoring ensures that everyone earns their credentials fairly and with integrity.
Maintains Credibility: You can rest assured that the designation or credential you’ve just completed keeps its value and is not awarded to those who didn’t earn it.
Provides Flexibility: Easily complete your online exams from any computer with a webcam and microphone. This freedom allows you to better balance your professional development with other commitments.
The Institutes uses the record & review method. Students’ exam sessions are recorded to ensure compliance with exam rules and reviewed by our Assessments team as needed. We also partner with Talview, a leading remote proctoring provider, to deliver a secure and user-friendly exam experience. Before your exam begins, you'll be asked to consent to the recording. All recordings are handled in compliance with industry data and security standards, including GDPR, ensuring your privacy is protected throughout the process.
Those in risk management and insurance trust and value The Institutes Designations because they represent a high standard of knowledge and professionalism. Virtual proctoring is another way to ensure they continue to maintain their value and credibility.
For a detailed look at the virtual exam proctoring experience, check out this video or visit our FAQs page.
To ensure a smooth experience when taking an Institutes Designations exam, make sure you have the following:
Required Hardware
Supported Operating System
Supported Browser (Latest Version or up to 3 Previous Versions)
And don't forget to test your camera and microphone at least 48 hours before your scheduled exam time to make sure everything works properly!
Proctoring for online exams is already a widely accepted practice among leading professional education providers, including the CFA Institute and Project Management Institute, and will only continue to grow in prevalence and relevance. It represents an important step forward for the learning and development of RMI professionals. In protecting the value of your professional achievements, you’re setting yourself up for greater success now and in future roles.
Ready to take the next step in your professional development? Explore what The Institutes Designations has to offer and learn more about their virtual exam proctoring today!
The Journey of Earning Every Institutes Designation: Interview with Jeff Barkley
By Skills Edge TeamIf you’re considering starting your professional development journey or earning your next designation, you might have a few questions. What kind of impact will it have on my career? Where should I start? Is it really worth the time and money?
We sat down with Jeff Barkley, a Large Loss Senior Manager, Adjunct Instructor at the University of Olivet, and completer of every single Institutes Designation as of September 2024 to discuss these exact questions. Jeff shares how his extensive education has helped him become a better leader, participate in initiatives across his organization, and improve his decision-making. Take a look!
Answer: There are a few reasons. The first designation I earned was the Associate in Insurance Services (AIS™) back in 2010. I started the designation at the University of Olivet, where I'm actually an adjunct instructor today, because they really encouraged students to pursue The Institutes Designations.
I had an economics professor who emphasized that he was going to cover a ton of information, and we would only remember 10% of it. One of the students asked, “What's the point if we're only going to remember 10%?” And I'll never forget his response: "Well, 10% of a lot is a heck of a lot more than 10% of a little.” That really stuck with me and shaped my view toward education. The things that resonate with you will help you connect dots in certain aspects of work.
My second designation was the Associate in Claims (AIC™), which I earned because of a dare. Then it became a little bit of an addiction. I made a bet with my director at the time, Renee. If I earned my AIC designation, she would promote me to Senior Adjuster. I don't think she thought I could do it so quickly. Long story short, I earned my AIC and received the promotion. And she never made a bet with me again.
A: It's definitely allowed me to participate in projects and initiatives that span core functions. It's given me the ability to speak the language of an underwriter, of a marketing professional, of a claims professional, and really connect those dots and communicate with the various areas within an insurance company. More importantly, it's helped me be a better teacher and a better leader.
With the depth and breadth of topics I've studied, I feel very comfortable positioning my team ahead of issues that I can see coming. As a very rudimentary example, I know that when we enter a hard market, underwriting is going to get a little more sensitive about risk referrals. Because I have that knowledge from what I've studied, I can keep my team ahead of the curve before the demands start rolling in.
A: My favorite designation to earn was the Associate in Reinsurance (ARe™). Really early in my career, I didn't understand the extent of the capital infrastructure that supports the insurance industry. That really fascinated me, and I'm still fascinated in that area. I like to joke that if I were to redo my insurance career, I might pursue reinsurance.
However, my most valuable designation is my CPCU. It really is the gold standard of designations out there. Of all the designations I've participated in and earned, the CPCU— early in my career, especially—unlocked my ability to participate in conversations, projects, and initiatives that spanned the core functions of an insurance carrier.
My career has been wholly in claims, but CPCU helped me see the insurance space through the prism of marketing, underwriting, and claims. And that helped me take part in a lot more than I was able to prior to earning that designation.
A: That's a really tough question to answer, and I know a lot of other students can identify with that. It really depended on the season of life. While I was doing all of these designations, I also got married. I had four kids. I completed a master's degree. I changed employers three times and just had a lot of life in between. As I got toward the end, there's a couple that I did in just a matter of weeks because I had so many overlapping credits. But some took me months, if not up to a year to finish. The main thing is to never let your circumstances get in the way of your aspirations.
A: I've worked for employers who have paid for designations, and I've worked for employers who encouraged us to invest in ourselves. And I understand both of those arguments. I won't pick one over the other, but I'll say to anybody that reads this: if you have an employer who is willing to invest in you—and even pay you for the performance increase that comes out of you learning new material—that's a really awesome gift.
But even if they don't, you should still consider investing in your own development because it won't return to you void. In hindsight, even though I've had employers pay for some of my designations and I've paid for some of them out of my own pocket, I would happily have paid for all of them. It's done that well by me.
A: Thank you to The Institutes and what you do to help educate our industry. We have an ageing workforce, and I find it very encouraging to know the quality of the material that's out there. It helps me as a leader and helps those across the RMI landscape gain the necessary knowledge to better serve people, because that's what we're here for.
The Institutes Launches a New Cyber Risk Management Designation
By Skills Edge TeamIn recent months, numerous surveys of business leaders have reported that one of their top concerns, if not their top concern, is the issue of cyber security. In many cases, small businesses that suffer a cyber event fail to recover from it. Even for larger businesses, the fallout from a cyber hacking or phishing event can be punishing financially.
Risk & Insurance, which is affiliated with The Institutes, recently spoke with Adam Carmichael, CPCU, the President of The Institutes Knowledge Group, about a new Institutes Designation. You can read the original interview on the Risk & Insurance website now. The Associate in Cyber Risk Management™ (ACRM™) is intended to bolster the knowledge and effectiveness of risk managers and risk-transfer professionals in this very important area of the insurance sector.
You can also try out a free sample course (about 30 minutes of content) to learn a little more about cyber risk and the scope of the program. What follows is a transcript of Risk & Insurance’s discussion with Mr. Carmichael, edited for length and clarity.
Risk & Insurance: In terms of your new cyber designation, which segments of the risk management and insurance profession is this course built for?
Adam Carmichael: I think a lot of times when people hear cyber, they immediately jump to IT. But really, cyber risk is an enterprise risk.
This new designation is focused on professionals such as the risk manager, the underwriter, the broker; various roles that have to manage cyber risk, to better equip them with a framework of how to do so.
R&I: How long did it take to pull the structure and the resources together to create this new designation?
AC: We worked on the program for several months. We talked to various practicing subject matter experts in the field to gather what are the most important things, what are best practices, to make sure we’re putting all of that in the courses, and in the program.
R&I: If I was going to take this course and get this designation, how much time should I set aside to do so?
AC: The designation has 3 main courses. It also has a short ethics course that goes with all of our designations. But with the 3 main courses, for most people, you could complete the entire program within 6 to 9 months if you’re doing a few hours of study each week.
R&I: As we know, cyber risk is a complex topic. As your team was putting together the materials, what were you trying to address in terms of knowledge gaps that you thought you could help professionals with?
AC: It is a complex topic. I think from that perspective, first, what we want to do is help people develop a plan or a strategy, a holistic approach on how to manage cyber threats.
That’s everything from identifying cyber-related risk exposure to understanding downstream impacts such as potential revenue loss, that could stem from a cyber event. Of course, the best course is to prevent these events.
We want to predict and prevent wherever possible and at least mitigate any losses. But we also want those that take the course to know what options are available for cyber coverage. It is an area that’s still evolving, but there are some key aspects to be able to understand what is and what is not covered, and to be able to plan accordingly.
R&I: That’s going to be an ongoing learning curve, isn’t it, in terms of what’s happening with coverage, exclusions and insurance capacity?
AC: No doubt. In some cases, the coverage is an endorsement of a certain policy. In other cases, it’s a cyber-specific policy. So we really do encounter a lot of variety there.
R&I: I assume you got a good deal of feedback or communications from risk professionals saying, “Hey. We could really use some help here.”
AC: We certainly heard directly. We also have an advisory board that we communicate with on the nuances of cyber risk and cyber coverage. Then added to that, we do look at independent research as well, to see what is top of mind for companies, and where the needs are.
Just to list a few statistics: A recent Munich Re survey showed that 87% of C-Suite-level executives said their company is not adequately protected against cyber risks or cyber-attacks. That’s a big number.
When we started talking about having a strategy and a holistic plan for how to manage that risk, it was the scope of that business leader concern that we were trying to address.
Similarly, the International Insurance Society, which is affiliated with The Institutes, conducts a Global Priority Survey in which 62% of executives polled said cybersecurity was their top priority. So again, very top of mind for business leaders. And this wasn’t just for large companies, either.
Cyber risk, as you know, applies to companies as well as individual risks, which we do address in the program as well. It’s startling, but 60% of small businesses close within 6 months of a cyber attack. Yet, despite these risks, about two thirds of small businesses lack any cyber insurance coverage.
R&I: When you think about this, is there anything about the topic, Adam, that I didn’t ask you about that you’re particularly passionate about that you wanted to get across to the readers?
AC: What I’m passionate about is that cyber risk is one of the largest threats that organizations of all sizes face. It’s not hard to not see it in the news or be impacted personally. Data breaches happen; that’s the interconnected world that we live in. It’s a data-driven world and cyber risk is very real. Our hope is that this designation is going to really help learners; help both them and their customers better manage cyber risk.
