Table of Contents
Chapter 1 - Overview of Business Insurance1
| Types of Insurers | 1 |
| Insurance Distribution | 2 |
| Insurance Company Analysis | 3 |
| Insurer Operations | 4 |
| Insurer Financial Performance | 4 |
| Insurer Failures | 5 |
| Insurance Pricing | 5 |
| An Insurable Risk | 6 |
| The Insurable Interest Concept | 6 |
| Insurance Policy Terms and Conditions | 6 |
| Indemnity | 7 |
| Deductibles | 7 |
| Limit of Insurance | 7 |
| Coinsurance | 7 |
| Exclusions | 8 |
| Insurance Riders | 8 |
| Perils | 8 |
| Endorsements | 8 |
| Losses and Claims | 8 |
| Who is the Payee? | 9 |
Chapter 2 - Types of Business Insurance11
| Boiler and Machinery Insurance | 11 |
| Business Interruption Insurance | 11 |
| Policy Inclusions | 12 |
| Additional Coverages | 12 |
| Management Actions | 13 |
| Cargo Insurance | 13 |
| Commercial Automobile Insurance | 14 |
| Commercial Crime Insurance | 14 |
| Commercial General Liability Insurance | 14 |
| Coverage Limitations | 15 |
| Umbrella Coverage | 15 |
| Credit Insurance | 15 |
| Cyber Risk Insurance | 17 |
| Management Actions | 17 |
| Directors and Officers Liability Insurance | 17 |
| Management Actions | 18 |
| Additional Coverages | 18 |
| Fidelity Bonds | 18 |
| Inland Marine Insurance | 18 |
| Life Insurance | 19 |
| Group Term Life Insurance | 19 |
| Medical Insurance | 21 |
| Political Risk Insurance | 22 |
| Professional Liability Insurance | 22 |
| Property Insurance | 22 |
| Types of Property | 22 |
| Policy Inclusions | 23 |
| Policy Exclusions | 23 |
| Additional Coverages | 23 |
| Coverage Limitations | 24 |
| Valuation Issues | 24 |
| Management Actions | 25 |
| Surety Bonds | 25 |
| Surplus Lines Insurance | 26 |
| State Unemployment Insurance | 26 |
| Unemployment Benefit Claims | 28 |
| Workers' Compensation Insurance | 29 |
| Policy Inclusions | 29 |
| Management Actions | 29 |
| Reinsurance | 30 |
| Insurance for the Home Business | 30 |
Chapter 3 - Insurance Management33
| Managing the Cost of Insurance | 33 |
| Broker Training | 33 |
| Odds Analysis | 33 |
| Insurer Messaging | 34 |
| Covered Items Analysis | 34 |
| Double Coverage Analysis | 34 |
| Split Limits Elimination | 34 |
| Continual Policy Updates | 34 |
| Unlikely Payouts | 34 |
| Non-Comparability | 35 |
| Deductibles Analysis | 35 |
| Small Claims Avoidance | 35 |
| Inventory Reduction | 35 |
| Delayed Payments | 36 |
| Self-Funded Insurance | 36 |
| Captive Insurance Company | 36 |
| Insurance Claim Problems | 37 |
| Insurance Claims Administration | 37 |
| Core Reports | 38 |
| Losses Report | 38 |
| Incidents Report | 38 |
| Insurance Claims Report | 39 |
| Accounting for Insurance | 39 |
| Insurance Payments | 39 |
| Claims Receipts | 40 |
Answers to Course Questions42
Glossary45
Index47
Course Details
Author: Steven M. Bragg, CPA
Steven Bragg, CPA, has been the chief financial officer or controller of four companies, as well as a consulting manager at Ernst & Young. He received a master’s degree in finance from Bentley College, an MBA from Babson College, and a Bachelor’s degree in Economics from the University of Maine. He has been a two-time president of the Colorado Mountain Club, and is an avid alpine skier, mountain biker, and certified master diver. Mr. Bragg resides in Centennial, Colorado. He has written more than 300 books and courses, including New Controller Guidebook, GAAP Guidebook, and Payroll Management.
Publication/Revision Date: 8/9/2024
Course Exam Questions (online): 15 (multiple-choice)
Program Delivery Method: Self-Study (NASBA QAS Self-Study)
Available Formats of Course Text: PDF or PDF plus printed copy sent in the mail
Course Level, Prerequisites, and Advance Preparation Requirements
| License | Course Level | Prerequisites | Advance Preparation Requirements |
|---|
| CPA | Overview | None | None |
| CFP® | Overview | None | None |
* This program is appropriate for professionals at all organizational levels.
Sponsor ID Numbers
National Registry of CPE Sponsors ID: 107615
CFP Board Sponsor ID: 1008 — Course ID: 257118
State CPA Board Sponsor ID Numbers (where applicable)
Florida Division of Certified Public Accounting: 0004761
Hawaii Board of Public Accountancy: 14003
New York State Board for Public Accountancy: 002146
Ohio Accountancy Board: CPE .51 PSR
Pennsylvania State Board of Accountancy: PX178025
Texas State Board of Public Accountancy: 009349
Learning Objectives
As a result of studying the course material, you should be able to meet the objectives listed below:
- Recognize the types of insurance offered by insurers.
- Identify the classifications of sellers of insurance products.
- Specify the measurements used to judge the performance of insurers.
- Recognize the conditions needed for a risk to be insurable.
- Identify the reasons for the different clauses used in an insurance contract.
- Specify the benefits and problems associated with each type of insurance.
- Identify the differences between the various types of life insurance.
- Recognize the methods used to reduce the cost of insurance.
- Specify the circumstances under which self-funded insurance might be successful.
