Insurance & Ethics

Licensed Maine Insurance Agents are required to obtain three Ethics continuing education credits every two years. Why do Maine, and other states, put such an emphasis on ethics?

Insurance is highly regulated at the state level. The laws relate to how insurance is transacted for consumer protection. There is no buyer beware when it comes to the insurance purchase. So to make sure we have the best practices in place, we need a strong ethical foundation.

Ethics are not black and white standards. And when you think about the many ways insurance can be sold and serviced, it can add additional layers to that ethical maze. As an insurance professional you need to be aware of all the stakeholders. You need to provide ethical service to your customers, to your carriers, to your co-workers and to the public at large. That can be a hefty burden.

You may find that in many situations there is no clear right or wrong answer, but you have to find the best. This doesn't mean that everyone is going to get a happy ending, it means that everyone is going to get what is equitable in the situation. Circumstances can change the desired outcome.

In order to be an ethical insurance professional you need to hold yourself to a high standard of integrity. Here are a few simple tips.

• Don't try to cover up mistakes. Own up the error and work to correct it. Use it a lesson to teach others.

• Be truthful at all times. Even if the truth may be hard to deliver. Insurance requires utmost faith - complete honesty on the parts of every one involved.

• Don't try to just sell a policy - sell a package that the client needs. And when you market it to your carriers, make sure it's a good fit for their guidelines.

• Be respectful in times of conflict.

These tips are not all encompassing, but they lay a good groundwork for navigating ethically in all insurance transactions you conduct. If you want a more in depthy review of good, ethical practices sign up for one of the many ethical classes designed by HIRED LLC.