cpcu professional

26 • CPCU Professional Designation Program The Institutes: (800) 644-2101 • www.aicpcu.org • [email protected]

Study materials listed in this publication are valid for exams administered in 2008; study materials are subject to change without notice thereafter. If you are uncertain about your study materials, check the Institutes’ Web site, www.aicpcu.org, or call Customer Support at (800) 644-2101.

Foundation Course DescriptionsCPCU 510—Foundations of Risk Management, Insurance, and ProfessionalismWhat You Will Learn. CodeofEthics,Risk,UnderstandingRiskManagement,RiskAssessment,RiskControl,RiskFinancing,FinancialServicesandInsuranceMarkets,InsuranceMechanism,InsurableRisks,LegalEnvironmentofInsurance,InsurancePolicy,InsurancePolicyAnalysis,andAmountsPayable.Study Materials Item # Cost Comprehensive Package (includesTexts,CourseGuide,Practice

ExamCD-ROM,andSMARTStudyAids)510CP $256

Required Materials Package (includesTexts,CourseGuide,andPracticeExamCD-ROM)

510RP $180

Foundations of Risk Management, Insurance, and Professionalism, 5th ed. (CourseGuideandPracticeExamCD-ROM)

51001 $48

Foundations of Risk Management and Insurance, 2nd ed. (Text) 51002 $108 Code of Professional Ethics of the American Institute for CPCU,

8th ed. (Text)51003 $24

SMART Study Aids, 4th ed. (ReviewNotesandFlashCards) 510S $76

Gain the Skills You Need to Succeed. TheCPCUprogramisbetterthanever.Theprogram

• Focusesonthelegal,financial,andoperationalaspectsofriskmanagementandinsurance,aswellasonfinancialservices.

• Reflectsthecurrentbusinessenvironment.• Providesabroadunderstandingofproperty-casualtyinsurance.

Enjoy the Benefits of Being a CPCU.

• Gainasolid,practicalknowledgebase.• Learnskillsthatyoucanputtoworkimmediately.• Distinguishyourselffromyourpeersandshowthatyouarecommittedto

professionalisminyourfield.• Earntherespectaccordedpeoplewhoholdthedesignation.

TheCPCUprogramhasaneducation,ethics,andexperiencerequirement.Seepage30foracompletedescriptionofCPCUrequirements.

Chartered Property Casualty Underwriter (CPCU) Professional DesignationSetyourselfapart.Morethan60,000peoplehaveearnedtheCPCUprofessionaldesignation.Theyareclaimadjusters,underwriters,riskmanagers,brokers,agents,regulators,consultants,attorneys,andeducators.CPCUisrespectedasthepremierdesignationinproperty-casualtyinsurance,andholdingthisdesignationimmediatelyidentifiesyouasaknowledgeableanddedicatedprofessional.

CPCU Program*

Foundation Courses

CPCU510 FoundationsofRiskManagement,Insurance,andProfessionalism

CPCU520 InsuranceOperations,Regulation,andStatutoryAccounting

CPCU530 TheLegalEnvironmentofInsurance

CPCU540 FinanceforRiskManagementandInsuranceProfessionals

CPCU560 FinancialServicesInstitutions

Commercial Concentration Courses

CPCU551 CommercialPropertyRiskManagementandInsurance

CPCU552 CommercialLiabilityRiskManagementandInsurance

CPCU553 SurveyofPersonalRiskManagement,Insurance,andFinancialPlanning

Personal Concentration Courses

CPCU555 PersonalRiskManagementandProperty-LiabilityInsurance

CPCU556 PersonalFinancialPlanning

CPCU557 SurveyofCommercialRiskManagementandInsurance

*Allcandidatesmustcompletethefivefoundationcourses.Inaddition,youselecteitherthecommercialorpersonalinsuranceconcentrationandcompletethethreecoursesintheconcentrationofyourchoosing.Youmaynotcombinecoursesfrombothconcentrations.

CPCU 520—Insurance Operations, Regulation, and Statutory AccountingWhat You Will Learn. InsuranceOperations,InsuranceRegulation,InsuranceMarketing,PropertyInsuranceUnderwriting,LiabilityInsuranceUnderwriting,Ratemaking,PropertyClaimAdjusting,LiabilityClaimAdjusting,Reinsurance,InsurerFinancialStatements,InsurerFinancialManagement,andInsurerBusinessStrategyandGlobalOperations.Study Materials Item # Cost

Comprehensive Package (includesText,CourseGuide,PracticeExamCD-ROM,andSMARTStudyAids)

520CP $232

Required Materials Package (includesText,CourseGuide,andPracticeExamCD-ROM)

520RP $156

Insurance Operations, Regulation, and Statutory Accounting, 2nd ed. (CourseGuideandPracticeExamCD-ROM)

52001 $48

Insurance Operations, Regulation, and Statutory Accounting, 2nd ed. (Text)

52002 $108

SMART Study Aids, 2nd ed. (ReviewNotesandFlashCards) 520S $76

The Institutes: (800) 644-2101 • www.aicpcu.org • [email protected] CPCU Professional Designation Program • 27


CPCU 530—The Legal Environment of InsuranceWhat You Will Learn. U.S.LawandRegulation;ContractLaw:ContractFormation,Agreement,LegalCapacity,Consideration,LegalPurpose,GenuineAssent,Form,Interpretation,andObligations;InsuranceContractLaw;CommercialLaw;PropertyLaw;TortLaw:Negligence,IntentionalTorts,ProductsLiability,EnvironmentalTorts,SpecialLiability,andLitigationConcepts;AgencyLaw;InsuranceApplicationsofAgencyLaw;EmploymentLaw;BusinessEntities;andTheInternationalLegalEnvironmentofInsurance.Study Materials Item # Cost


530CP $232


530RP $156

The Legal Environment of Insurance, 1st ed. (CourseGuideandPracticeExamCD-ROM)

53001 $48

The Legal Environment of Insurance, 1st ed. (Text) 53002 $108SMART Study Aids, 1st ed. (ReviewNotesandFlashCards) 530S $76

CPCU 540—Finance for Risk Management and Insurance ProfessionalsWhat You Will Learn. BasicsofCorporateFinance,FinancialStatements,SourcesofAdditionalFinancialandNonfinancialInformation,FinancialStatementAnalysis,WorkingCapitalManagement,TimeValueofMoney,DiscountedCashFlowValuation,BondsandStocks,OperatingEnvironmentandCorporateFinance,InsurerInvestmentStrategies,InsurerIncomeandDividendPolicy,InsurerCapital:NeedsandSources,CapitalStructureofInsurers,MakingCapitalInvestmentDecisions,andMergersandAcquisitions.Study Materials Item # Cost


540CP $232


540RP $156

Finance for Risk Management and Insurance Professionals, 1st ed. (CourseGuideandPracticeExamCD-ROM)

54001 $48

Finance for Risk Management and Insurance Professionals, 1st ed. (Text)

54002 $108

SMART Study Aids, 1st ed. (ReviewNotesandFlashCards) 540S $76Introduction to Accounting Principles and Financial Statements (DVD)

54008V $38Online classes are available for CPCU courses. Go to our Web site, www.aicpcu.org, for a current schedule.

CPCU 560—Financial Services InstitutionsWhat You Will Learn. FinancialMarkets,FederalReserve,MoneyMarkets,BondMarkets,StockMarkets,DerivativeSecurities,CommercialBanks,RegulationofCommercialBanks,OtherLendingInstitutions,InsuranceCompanies,SecuritiesFirmsandInvestmentBanks,MutualFunds,PensionFunds,andRisksIncurredbyFinancialInstitutions.Study Materials Item # Cost Comprehensive Package (includesText,CourseGuide,Practice



560RP $156

Financial Services Institutions, 5th ed. (CourseGuideandPracticeExamCD-ROM)

56001 $48

Financial Markets and Institutions, 3rd CPCU ed. (Text) 56002 $108 SMART Study Aids, 3rd ed. (ReviewNotesandFlashCards) 560S $76

NEW Study Materials New item prices effective immediately. Pricesforotheritemseffective1/1/08.AllnewitemsavailableSeptember2007forJanuary–March2008exams.

Special Program InformationSequence: CPCU510isdesignedtobethestartingpoint.However,studentsmaytakecoursesinanysequenceaccordingtotheirbackground,needs,andinterests.

ACE and CE: VisitourWebsitetoseeACEcollegecreditrecommendationsandyourstate’scontinuingeducationcreditinformationforthesecourses.Seepages36and37.

SMART Study Aids for CPCU courses! See page 25.

CPCU Exam InformationExamType Computer-administered.Approximately30–35questions,essayexams;

CPCU553and557are100-questionobjectiveexams.3-hourtimelimit.

Fee* $230(DiscountedFee)/$295(StandardFee)1

* AtallPrometricTestingCenters.FeeseffectiveforexamsgivenbeginningwiththeJanuary–March2008testingwindow.Cancellationcreditmayapply.ReducedfeesapplyforInstitutesApprovedOn-SiteTestingCenters.Seepages32–35forcompleteexaminformation,includingdeadlines,fees,andcredits.SeeourWebsiteforinternationalexams.

1 Thediscountedfeeischargedonorbeforethefirstdayofthetestingwindow;thestandardfeeischargedthereafter.



Commercial Concentration Course DescriptionsCPCU 551—Commercial Property Risk Management and InsuranceWhat You Will Learn. PropertyLossExposures;BuildingandPersonalPropertyCoverage;CausesofLossForms;Flood,Earthquake,andSpecialtyForms;BusinessIncome;InlandMarineandOceanCargo;Crime;EquipmentBreakdown;BusinessownersandFarmowners;andSuretyBonds.Study Materials Item # Cost Comprehensive Package (includesTexts,CourseGuide,Practice



551RP $185

Commercial Property Risk Management and Insurance, 4th ed. (CourseGuideandPracticeExamCD-ROM)

55101 $48

Commercial Property Risk Management and Insurance, 7th ed. (Text)

55102 $108

The CPCU Handbook of Insurance Policies, 7th ed. (Text) 9 $29 SMART Study Aids, 3rd ed. (ReviewNotesandFlashCards) 551S $76

Business Income Insurance: An Introduction (Video) SAVB01 $41

CPCU 552—Commercial Liability Risk Management and InsuranceWhat You Will Learn. LiabilityLossExposures,LiabilityRiskControl,GeneralLiabilityInsurance,BusinessAutoInsurance,GarageandMotorCarrierInsurance,Workers’CompensationandEmployers’LiabilityLossExposures,Workers’CompensationandEmployers’LiabilityInsurance,ManagementLiabilityLossExposuresandInsurance,ProfessionalLiabilityLossExposuresandInsurance,EnvironmentalLossExposuresandInsurance,AviationLossExposuresandInsurance,ExcessandUmbrellaLiabilityInsurance,andAdvancedRiskFinancingTechniques.Study Materials Item # Cost Comprehensive Package (includesTexts,CourseGuide,Practice



552RP $185

Commercial Liability Risk Management and Insurance, 4th ed. (CourseGuideandPracticeExamCD-ROM)

55201 $48

Commercial Liability Risk Management and Insurance, 6th ed. (Text)

55202 $108

The CPCU Handbook of Insurance Policies, 7th ed. (Text) 9 $29 SMART Study Aids, 3rd ed. (ReviewNotesandFlashCards) 552S $76

CPCU 553—Survey of Personal Risk Management, Insurance, and Financial PlanningWhat You Will Learn. AutomobileInsuranceandSociety,PersonalAutoPolicy,HomeownersInsurance,OtherResidentialInsurance,OtherPersonalPropertyandLiabilityInsurance,PersonalLossExposuresandFinancialPlanning,LifeInsurance,HealthandDisabilityInsurance,InvestmentPlanning,PlanningforRetirement,andEstatePlanning.Study Materials Item # Cost

Comprehensive Package (includesTexts,CourseGuide,PracticeExamCD-ROM,andSMARTStudyAids)

553CP $208


553RP $132

Survey of Personal Risk Management, Insurance, and Financial Planning, 3rd ed. (CourseGuideandPracticeExamCD-ROM)

55301 $48

Investment, Retirement, and Estate Planning, 2nd ed. (Text) 55302 $39Personal Insurance, 1st ed. (August 2004) (Text) 55303 $45SMART Study Aids, 2nd ed. (ReviewNotesandFlashCards) 553S $76

The Institutes: (800) 644-2101 • www.aicpcu.org • [email protected] CPCU Professional Designation Program • 2�


Personal Concentration Course DescriptionsCPCU 555—Personal Risk Management and Property-Liability InsuranceWhat You Will Learn. PersonalRiskManagement,HomeownersInsurance,HomeownersEndorsementsandVariations,PersonalAuto,RecreationalVehicles,DevelopingPersonalInsuranceProducts,UnderwritingProfitability,PricingPersonalInsuranceProducts,ReunderwritingPersonalInsurancePortfolios,andGainingEfficienciesinPersonalInsuranceOperations.Study Materials Item # Cost Comprehensive Package (includesTexts,CourseGuide,Practice



555RP $185

Personal Risk Management and Property-Liability Insurance, 3rd ed. (CourseGuideandPracticeExamCD-ROM)

55501 $48

Personal Risk Management and Property-Liability Insurance, 1st ed. (Text)

55502 $108

The CPCU Handbook of Insurance Policies, 7th ed. (Text) 9 $29 SMART Study Aids, 2nd ed. (ReviewNotesandFlashCards) 555S $76

CPCU 556—Personal Financial PlanningWhat You Will Learn. LifeInsuranceandSocialSecurity;Health,Disability,andLong-TermCare;BasicInvestmentPrinciples;EquityandFixed-IncomeInvestments;MutualFunds;AssetAllocation;IncomeTaxPlanning;PlanningforRetirement;EstatePlanning;andFinancingEducationExpenses.Study Materials Item # Cost Comprehensive Package (includesText,CourseGuide,Practice



556RP $100

Personal Financial Planning, 4th ed. (CourseGuideandPracticeExamCD-ROM)

55601 $48

Personal Financial Planning, 2nd CPCU ed. (Text) 55602 $52 SMART Study Aids, 3rd ed. (ReviewNotesandFlashCards) 556S $76

CPCU 557—Survey of Commercial Risk Management and InsuranceWhat You Will Learn. CommercialProperty,BusinessIncome,CommercialCrime,EquipmentBreakdown,InlandandOceanMarine,CommercialGeneralLiability,CommercialAuto,Businessowners,Farm,WorkersCompensationandEmployersLiability,andRiskControl.Study Materials Item # Cost Comprehensive Package (includesTexts,CourseGuide,Practice



557RP $132

Survey of Commercial Risk Management and Insurance, 6th ed. (CourseGuideandPracticeExamCD-ROM)

55701 $48

Property and Liability Risk Control, 1st ed. (Text) 55702 $39 Commercial Insurance, 2nd ed. (Text) 55703 $45 SMART Study Aids, 5th ed. (ReviewNotesandFlashCards) 557S $76

NEW Study Materials New item prices effective immediately. Pricesforotheritemseffective1/1/08.AllnewitemsavailableSeptember2007forJanuary–March2008exams.

Special Program InformationSequence: CPCU510isdesignedtobethestartingpoint.However,studentsmaytakecoursesinanysequenceaccordingtotheirbackground,needs,andinterests.

ACE and CE: VisitourWebsitetoseeACEcollegecreditrecommendationsandyourstate’scontinuingeducationcreditinformationforthesecourses.Seepages36and37.

Are you in Human Resource Management or Employee Benefits? TheInstituteshaveacooperativearrangementwiththeInternationalFoundationofEmployeeBenefitPlans.ItsCertifiedEmployeeBenefitSpecialist(CEBS)designationprogramwaivesCPCU556—PersonalFinancialPlanningintheCPCUprogram.Logontowww.cebs.orgorcall(800)449-2327forinformationabouttheCEBSdesignation.

CPCU Exam InformationExamType Computer-administered.Approximately30–35questions,essayexams;

CPCU553and557are100-questionobjectiveexams.3-hourtimelimit.

Fee* $230(DiscountedFee)/$295(StandardFee)1

* AtallPrometricTestingCenters.FeeseffectiveforexamsgivenbeginningwiththeJanuary–March2008testingwindow.Cancellationcreditmayapply.ReducedfeesapplyforInstitutesApprovedOn-SiteTestingCenters.Seepages32–35forcompleteexaminformation,includingdeadlines,fees,andcredits.SeeourWebsiteforinternationalexams.

1 Thediscountedfeeischargedonorbeforethefirstdayofthetestingwindow;thestandardfeeischargedthereafter.

SMART Study Aids for CPCU courses! See page 25.

Explanation of CPCU RequirementsMatriculation. Youmustmatriculate(registerasacandidate)withtheAmericanInstitutebysubmittingamatriculationformandthe$75fee.ThematriculationformcanbeprintedfromourWebsiteorrequestedfromCustomerSupport.YoushouldsubmitthematriculationformandfeewiththeregistrationforyourfirstCPCUexam.YoumustsignastatementonthematriculationformagreeingtoabidebytheInstitute’sCodeofProfessionalEthics.

Education Requirement. YoumustpasstheexamsforeightcoursestoearntheCPCUdesignation.Allcandidatesmustcompletethefivefoundationcourses.Inaddition,youselecteitherthecommercialorpersonalinsuranceconcentrationandcompletethethreecoursesintheconcentrationofyourchoosing.Youmaynotcombinecoursesfrombothconcentrations.

Ethics Requirement. TheAmericanInstitute’sCodeofProfessionalEthicsisthestandardbywhichyourethicalbehaviorasaCPCUcandidateoraCPCUdesigneeismeasured.YouaresubjecttotheCodeonceyousignthematriculationform,andyoucontinuetobesubjecttoitthroughoutyourcandidacyandafterreceivingtheCPCUdesignation.

Experience Requirement. Youmustcompletesuitableinsuranceorrelatedactivitiesforany36months(aminimumof17.5hoursperweek)duringthefive-yearperiodimmediatelyprecedingtheconfermentoftheCPCUdesignation.Seethematriculationformforspecificrequirementsandinstructionsabouthowtosubmitthisinforma-tion.Ifyoumeetallrequirementsexcepttheexperiencerequirement,thedesignationwillbeconferredwhenyoumeetit.

WhenyouhavecompletedasubstantialportionoftheCPCUeducationalrequirements,wewillsendyouaformtodocumentyourhavingmettheethicsandexperiencerequirements.Ifyoudonotreceivethisform,contactBarbaraSmallat(610)644-2100,ext.7631,[email protected],wewillnotifyyouthatyouhavemetallCPCUdesignationrequirements.In order for you to attend a specific conferment ceremony, your ethics and experience form must be received and approved before June 30th of the conferment year.Seepage31forotherCPCUconfermentinformation.

Other CPCU InformationContinuing Professional Development (CPD): TheCPDprogramisdesignedtoencourageallCPCUstobroadentheirprofessionalknowledgeandtorecognizethemforhavingdoneso.ACPCUparticipatesinthisvoluntaryprogrambyaccumulating60pointsforcertainprofessionalandeducationalactivitiesconductedoveraperiodof24consecutivemonths.AcertificateisavailableforCPDqualifiers.

How to Apply for Waivers for Advanced Degrees or DesignationsStudentsneedonlyapplyforwaiversforadvanceddegreesornon-Institutedesignations.NoapplicationisneededforIIAprogramwaivers.

To apply for waivers in the CPCU program, do the following:

• DownloadtheCPCU/IIAAcademicCreditRequestformfromourWebsite,www.aicpcu.org,andclickontheBecomeaCPCUlink.

• Mailthecompletedformwithanofficialtranscript(nophotocopiesaccepted)andpaymentofthe$125waiverfee.Thefeemaybepaidbycheckormoneyorder,oryoumaychargeAmericanExpress,DinersClub,Discover,MasterCard,orVISA.Thefeewillberefundedifyourapplicationisnotapproved.

Youwillbenotifiedofyourwaiverstatuswithinamonthofourreceiptofyourapplication.

NOTE:Noopinionsregardingtransfercreditforcollegecoursesorprofessionaldesignationswillbeprovidedbyphoneore-mail.

If you have questions about the CPCU program atanytimeduringyourstudies,[email protected](800)644-2101.

Equivalency ChartCPCU Exams Passed

Existing Credit Earns Credit in CPCU

CPCU1 CPCU510

CPCU2 CPCU553or555*

CPCU3 CPCU551

CPCU4 CPCU552

CPCU5 CPCU520

CPCU6 CPCU530

CPCU7or9 CPCU560

CPCU8 CPCU540

CPCU551and552 CPCU557

CPCU555and556 CPCU553

IIA Programs Completed


AAI CPCU557

API CPCU555

CertificateinGeneralInsurance CPCU553or557*

Advanced Degrees/Professional Designations


CLU,ChFC,CFP,CEBS,andLUTCF CPCU556

FLMI,FFSI CPCU560

WCP CPCU520

MBA(orequivalentdegree),ACAS,orFCAS CPCU540

LawDegree CPCU530

ACII,TheCharteredInsuranceInstitute(UK) CPCU530,540,and560

AIICorCIP,InsuranceInstituteofCanada CPCU530,540,and560

Non-LifeFellow,InsuranceInstituteofIndia CPCU530,540,and560

IIA Programs (for candidates who matriculated into CPCU by June 1��2 and completed one of the following IIA programs by December 15, 2002)


AIC CPCU530

AIM(ifearnedwithAIM41,42,43,44) CPCU560

ARM CPCU510

AU(ifearnedwithAU61&62,plusanypairof63&64,63&65,64&66,65&66)

CPCU520

AAI CPCU551or557*

AIAF CPCU540

*Thiscreditwillbeautomaticallyappliedtoeitherconcentrationyouchoose.Youmaynotcombinecoursesfrombothconcentrations.


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