CPCU - Advice

[rich999]

I am 40 years old and hold a high level claims management position for an insurance company. I do not have a college degree and I can see that this is starting to hold me back from progressing.

I feel my best option would be for me to obtain my CPCU designation. At my age, with 3 kids, I'm concerned about the length of time involved in obtaining the CPCU as well as "hitting the books" again after being out of school for so long.

Do you think the CPCU is my best option?
How long does it take to obtain the designation?
Is the course material/tests very difficult?
Is there classroom training or courses or is it self study?
Can I receive any credit toward the designation based on my experience in the industry?

Thanks for your advice.

[Big Dog]

You might want to take a look at some of the more reputable online degree programs as an alternative. Many of these programs run for about two years (which is about how long it'd take to get the CPCU). Beyond that, having a degreen in a business related area (management) would give you the flexability for a possible career change, if need be.

[ForumReader1]

I received my CPCU designation back when it was 10 parts - now it is very. Your best source of info is at www.aicpcu.org. You can even call the Institute for counseling about getting started, or to see if any chapters are sponsoring a class near you. I took classes for some parts and self-studied others because no classes were available. They were all challenging. You can usually get transfer credits towards a bachelors degree. You can probably work in 2 or 3 of the parts per year.

Whether or not that helps your career depends on what skills your management stresses. The CPCU provides a nice balance of coverage and understanding the business of insurance (finance, accounting, business law, marketing etc). I definitely think it helped me in my own career.

[superdash8]

Do you think the CPCU is my best option? Yes, it is widley understood and agreed that the CPCU is THE designation to have. Some may argue in favor of the CIC or others, but when I see correspondence from people high up in the industry, I usually see CPCU after their names. I also only have HS diploma, and I'm 43 yrs old. I feel much safer and respected now that I have this CPCU. Safer? Well, it will look great on my resume if I ever need that again. And it also looks great for my annual reviews with my current employer. It is definitely a strong bargaining chip.
How long does it take to obtain the designation? I just finished self studying for mine. It took 3 years and about 60-80 hours for each.
Is the course material/tests very difficult? It is not easy by any means. However, if you apply yourself to the studies you can do it. You need to take it seriously and actually learn the material. Plus, the information you learn is useful everyday.
Is there classroom training or courses or is it self study? I am not sure about classes, I think there are some available on line. I recommend seeing if you can find another person interested in also getting the CPCU and studying together. Each unit is 15 chapters. My study partner and I read a chapter and corresponding workbook section each week. Then spent the last week or two quizing each other with flash cards, etc. I highly recommend using only the AICPCU materials.
Can I receive any credit toward the designation based on my experience in the industry? No, I do not believe you can. However, you may receive credits for other studies you have completed for other designations. Also, for each unit you complete you shold be able to get CE credits. It varies from state to state, but I was able to 20 credits for each unit.

You should check out www.aicpcu.org. These are the folks have the materials, grade the tests, and give out the designation. Good luck!

[ForumReader1]

In the first sentence of my posting above, I meant to say the CPCU designation now has 8 parts. Sorry!

[skryan]

In the interest of full disclosure, I work for the Institutes (American Institute for CPCU and Insurance Institute of America). I'm very glad you're considering CPCU. As for what is the best thing for you and your career, ultimately you'll have to make that determination. Having said that, here's some food for thought (in addition to the comments from superdash8's posting):

You don't necessarily have to choose between CPCU and a college degree. You can earn the CPCU designation and gain credit toward a college degree with one of our college or university partners. There's some information on our Web site: http://www.aicpcu.org/Students/ace.htm

You can either self-study (most people do) or take classes. We have lists of public classes that are run by 3rd party providers around the country (including CPCU Society chapters) or you can take an instructor-led online class with the Institutes. Again, there's info on our site. You could also check with other people at your company and see if there are study groups.

The average time for completion is 5 years, but many folks do complete it in less time. It all depends on how much time you're able to devote to studying for the exams.

As for difficulty, CPCU courses have college-level difficulty. But if you've been in the business for a long time, that can certainly help you.

We conducted a survey recently and found that the vast majority of CPCU designation holders surveyed saw increased job opportunities, received promotions and/or salary increases, or reported greater job security.

I'd also check out your local CPCU Society chapter (find it at http://www.cpcusociety.org); they may offer classes and you can talk to other CPCUs or maybe even CPCU candidates. Depending on the chapter, they may even be able to hook you up with a mentor.

I'm somewhat biased, but I strongly believe CPCU is a great choice. Good luck with whatever choice you make!

[rich999]

Thank you all for all of your responses, they were very insightful.

One last question, in the interim, should I even bother to obtain my AIC designation or will that not make much of a difference on a resume at my level (Management)?

[Big Dog]

Personally, completing your BA would provide greater advantages than the CPCU. Whereas the CPCU is insurance industry specific (possibiliy helpful if you were to take a position as a risk manager), a BA would provide greater flexability (both in the short and long term).

Just my opinion.

[rich999]

**BUMP**

One last question, in the interim, should I even bother to obtain my AIC designation or will that not make much of a difference on a resume at my level (Management)?

[CCRich]

I agree with skryan and the others who have encouraged you to further your professional technical expertise. As an active CPCU, I can also attest to the many benefits of the designation. As far as the AIC, again I would encourage any program that you believe will satisfy your goals. I think that the AIC designation will allow you to waive at least one CPCU part, so you would accomplish a couple of things that way. Either way, I encourage you to get involved in furthering your professional development through insurance education. And by all means, contact your local CPCU Chapter for guidance and support. One of our purposes is to provide assistance to people like you. Good luck!

[winter09]

If you intend to stay with an insurance company, a CPCU designation is beneficial. If, however, you venture to the broker/agent side, in my 30 years experience, its value is negligible. A CIC is more beneficial on the broker/agent side. The old joke for agents is "CPCU stands for can't produce, can't underwrite".

[txinsurancemanager]

I too completed my CPCU in the mid 80's when it was 10 parts, all essay exams.

It's been my experience that a CPCU means more to an insurance carrier or to a large, international brokerage. I would have to say that it has gotten my foot in the door many times but possibly shut me out just as many times. I've even had people tell me in an interview that the designation is meaningless. Meaningless to them, perhaps. It possibly means they were not successful in obtaining the designation because I've never heard someone who has the designation say that.

It also seems to make a difference WHERE you are working as to how much weight is given the designation.

I had one employer who suggested that the designation shouldn't be used on business cards and correspondence because they believed it held them to a higher standard. I was stunned by that remark. I believe they had been told that by an E & O carrier. That was even more astounding to me since E & O underwriters generally like policyholders to have employees with advanced designations.

The suggestion made earlier that you use CPCU credits toward a degree seems like a good suggestion.

[stingley]

Three years ago I was at exactly the same point where you are now (coincidentally, at the same age) and decided to obtain a degree. I reached this decision after being told by an interviewer that I was the perfect candidate for a position I was extremely qualified to work, but their HR would not allow them to hire a candidate without a 4 year degree. Since that time I have taken 2 to 3 classes a semester at an affordable community college with the intention of transferring to a major university, while working full-time. I still have a long way to go (probably another 5 or 6 years) and it's a huge sacrifice, both in time and money.

Following a recent downsizing, I found myself interviewing again, this time by necessity and not choice. One helpful interviewer, also a CPCU, offered this sage advice. He simply said that if I finished my CPCU, the 4 year degree requirement would most probably be waived by most insurance industry employers. Since I have already achieved the General Insurance Designation (INS), the Associate In Claims (AIC) and CPCU 1 under the old 10 part program, I already have three waivers needed for the current 8 part program. In the interest of time, I would encourage you to pursue the CPCU designation. If I had chosen that path three years ago, I'd be finished by now. Even with no waivers available to you, you should easily be able to take one part every six months and be finished in under 4 years. If you don't take the summers off, and can take three parts a year, you can finish in under 2 and a half years. I am taking the next CPCU this summer and will cut my college classes back in the fall to allow me to continue the CPCU program. Hopefully I'll be finished before I'm too old to reap the rewards of my "education". Good luck to you!

[LKQ]

I also do not have a college degree, but I earned my CPCU designation several years ago and went on to earn my AIC designation as well. I honestly believe that earning my CPCU designation has been a key factor in the progression my career has made from an adjuster, to a supervisor, to a manager, etc. I earned many promotions in my years in the insurance industry, over other candidates that had a college degree. At times I do consider working towards my college degree, and I eventually may do so, but at the present time I am working on another designation. I have found that my efforts and study time devoted in working toward my CPCU designation (and the other insurance related designations that I have earned) pertain specifically to my profession and has been much more valuable for me than if I held a college degree in an unrelated area. I would recommend that you work towards your CPCU designation and consider your designation to be your college degree in insurance. After earning your designation if you feel that your college degree is the next step for you, then you will have already earned college credits through your investment in the CPCU program.

[joel66]

I'm almost in the same position as you. Over the past few days, I have been trying to decide what direction to go. I just completed my last class to obtain my B.S. in Business at Excelsior College. It's been a long 2 1/2 years because I have been out of school for over 20 years and also 40+. Now, I'm trying to decide if I should pursue my MBA or go for CPCU. I did noticed a few schools would offer credit toward your degree if you have a CPCU and think I can do both.

In regards to your situation, you can do both. When I started my journey January of 2007, I worked on my SCLA designation and enrolled at Excelsior College. I had almost 30 units of college credit applied toward my general business degree, because ACE considers courses from AICPCU and aeiclaimslaw as college credit. You can do the same thing and complete your CPCU and get those courses submitted to "American Council on Education," and enroll in a school like Excelsior or other schools that accept ACE credits toward your degree. I started my journey when I was 40 years of age and now I'm 43. I can say that time goes by really quick and glade I did this, because over past 18 years I have been in the insurance business I have been passed up for a management position for so long and feel the lack of any insurance designations and formal education has played a small part on advancement. Many times I have been one of the two people left in the interview process, only to be told it was a close decision. When I look back, I noticed when two people have very similar work experience and work product, in most cases it would be the one with a stronger education background.

I guess what I'm saying is that you can pursue both an undergrad degree and a CPCU. Once you complete your CPCU, you are getting closer to reaching your undergrad degree.

Joe