It's become popular for insurance agents to brand themselves as risk managers, but what does that really mean? Can you really use that title or phrase in your advertising without someone attributing a meaning beyond what you originally meant? This class will help you to decide if that title is something that you want to take on or not.

Insurance agents (not necessarily true brokers) are by default order takers.  This is over-simplistic but in general terms, in most states, unless an agent changes the standard of care, they are simply order takers.  The insured tells the agent what kind of insurance and how much insurance they want.  The agent then finds a market and offers a quote.  The standard of care is very low at the order taker level.

No one really needs an order taker agent.  Agents and agencies therefore try to increase, in consumers' eyes, the value they are bringing to clients by advertising that they are more than an order taker.  Without very careful wording, these advertisements increase agents' and agencies' standard of care.  They owe more to their clients and they must follow through.

These advertisements include titles and the title "Risk Manager" likely creates the highest standard of care possible.  Insurance is a subdivision of risk management.  Therefore, selling insurance is part of risk management but does not include all risk management activities.  When an agent calls themselves a Risk Manager, they are now responsible for advising and even identifying all risk management factors including all those for which insurance is not a solution.  This even means providing high-quality cyber risk management advice and solutions, when means bringing technical solutions to clients that virtually zero agents and brokers can provide.  By advertising you are a risk manager, you likely create an obligation to do so – among at least 25 other obligations you have created by default using the Risk Manager title.  And these obligations are obligations to 100% of your clients – not just the big ones.