1. EUROPEAN CONFERENCE OF THE NATIONAL INSTITUTES FOR PROFESSIONAL INSURANCE EDUCATION Future demands for Education in the European Insurance Sector: establishing a Quality Measurement Policy Project „Anchor“ GREEK INSTITUTE FOR INSURANCE EDUCATION Elpi Karampali, Msc, MBA, DBA

2. Agenda • Background • Aims of the project • Set up of working group • Results of working group • Benefits • Further steps to be taken

3. Background(organisations) Eficert is the largest professional and educational organisation for financial planners & financial advisers in Europe. • Mission • Eficert secures transparency in competences • for the European financial sector industry and aims to • achieve joint European certifications of equivalent national qualifications in accordance with defined standards • achieve an agreed European quality mark with Eficert certificates • maintain the independence of the national vocational institutes to build up educational programmes to fulfill the European standards • take account of the harmonization of the European market • base its certificates on practitioner- and customer-oriented education and training • manifest the European aspiration in its certification programme by means of common European educational modules • achieve a system, which has as little bureaucracy as possible

4. Background(organisations) Partner Organisations In 17 European countries Austria - Belgium – Cyprus – Denmark Finland – France – Germany – Greece Hungary- Italy – Latvia – Malta – Norway Spain - Sweden – Suisse -Turkey

5. Background(organisations) EUROPEAN CONFERENCE OF THE NATIONAL INSTITUTES FOR PROFESSIONAL INSURANCE EDUCATION Partner Organisations In 21 European countries

6. Background • EU mediation directive gives new requirements for the qualification of insurance intermediaries • EU requirement of appropriate qualification is heterogeneously implemented within Europe • Bruge-Copenhaguen Process influences vocational education and training (EQF, ECVET): need to apply these instruments in the insurance industry

7. Aims of the project • Development of a European qualification standard for insurance intermediaries according to EU-directive  certificate • Testing the applicability of the European Qualification Framework • Implementation of a certificate for insurance intermediaries in the Eficert member states • Taking a first steps towards a Sectoral Qualification Framework

8. Set up of Working group ANCHOR • Establishment of working group by general assembly of eficert, Munich, December 2006 • Members of the working group • Roberta Pittaluga, Italy • Dr. Katharina Höhn, Germany • Matthias Stettler, Switzerland • Klas Ottosson, Sweden • Rolf Harslof, Lene Frilund, Denmark • Dr. Elpi Karampali, Greece • Sotos Kyriakides, Cyprus

9. Results Analysis of the EU-directive Positioning of insurance intermediary on EQF-scale Profile of what an insurance intermediary does Title for a European Insurance Intermediary Definition of knowledge, skills and competences according EQF How to award the title (recognition rules)

10. Professional requirements according to EU mediation directive • Preamble (21) • Less need to require information (…) for commercial and industrial risk (see Art. 12 (4))  private customer risks • Art. 2 (3) • Introduce, propose or carry out other work to the conclusion of insurance contracts, conclude such contracts, or assist in the administration and performance of contracts, in particular in the event of a claim • Art. 12 • (1) provide the customer with the following information • His identity and address • The register he is included in • Which company or companies he represents (tied or untied) • (3) Specify the demands and the needs of the customer (in particular on the basis of information provided by the customer) • Specify the underlying reasonsfor any advice given to the customer on a given insurance product • Module (adapt) the reasons for the advice to the complexity of the contract • Propose an insurance contract

11. Profile “European Certified Insurance Intermediary (eficert)” • Guide the private (and small business; not industrial) customer through the sales conversation autonomously and systematically • Explain to the customer his personal professional background and situation (registration, company/companies repesented ect.); explain the types of services he offers) • Make a needs analysis • Collect relevant information • Identify the needs and wishes of the customer • Identify the risks to be covered • Find a solution • Compare the insurance needs and wishes of the customer and the eventual existing coverage • Develop possible solutions in order to fill the identified gap • Identify the most valuabel solutions for the customer • Propose solutions to the customer and explain consequences • Show the (possible) gap to the customer • Discuss possible solutions with the customer • Point out the neccessary coverage and compare with economic possiblities of the customer • Agree with customer on the solution to be followed • Offer appropriate product/s and explain correctly the insurance conditions • Make sure that the customer understands the contract/s offered • Get contract signed or make appointments for further steps to be taken • Make a documentation of the conversation • Follow up the contract • Review contracts and conduct measures to manage portfolios and maintain contracts • Assist customer in case of claim (advice concerning claims process)

12. Knowledge, skills and competences of an insurance intermediary

14. EQF Reference levels The EQF NQFCountry A NQFCountry B 1 1 1 2 2 2 3 3 3 4 4 4 5 5 5 6 6 6 7 7 8 8 9

15. The Insurance Intermediary on the EQF framework

16. Evaluation system - Proposal Assessment: Does the Insurance Intermediary possess the knowledge, skills and competences defined? Class Room Practical Experience E-Learning … no matter what…

17. Evaluation system - Proposal Assessment: Does the Insurance Intermediary possess the knowledge, skills and competences defined? National methods of proving competence have to fulfil the following criteria in order to get acknowledgement to award the title • Assessment can mean: tests (written, oral, computer); documentation of practical experience;prior learning can also be considered as part of the assessment • assessment should cover knowledge, skills and competence defined in ECII • evaluation has to be submitted by external persons and has to be documented using standardized evaluation forms (no self-evaluation alone) • Assessment procedure has to be clearly defined and supervised • Decision-taking has to be described (measurement; limit for passing / not passing defined) • In case of assessment-documentation, the eficert-member has to supervise and approve the procedure • no knowledge-tests alone, but case-based, solution-oriented questions (open and/or multiple choice) • Test must be done by testee alone (without help); individual test • Testing results have to be supervised / test has to be controlled • for competence-testing: hands-on problems have to be solved (client-situation: e.g. case study, role play) • Assessments / tests have to be standardised and objective (e.g. if oral exams, then a standardised evaluation form is needed) • eficert board can make quality assurance on the place; test dates have to be declared on demand • time restrictions have to be described

18. Benefits of a European Certificatefor Insurance Intermediaries • Acknowledgement of a benchmark based on competences (outcome-orientation) for institutional, corporate customers • Motivation for life long learning for sales people • Orientation for HR Management of global player companies • Quality assurance for qualifications • Additional credibility and acceptance for national qualifications • Orientation for supervising bodies when comparing qualification levels for cross-border activities

19. Further steps to be taken • Contact to interest groups on EU-level as well as within member states

20. Further steps to be takenCont.. • Set up precise recognition procedures • Test functioning of recognition procedures with volunteer members • Work out a strategy to communicate to political interest groups (on European and national level) • Communicate to Eficert members and get decision about • results of recognition procedure test • political strategy • Design an implementation strategy • Collect further ideas about the implementation of EQF in the insurance branch, esp. for higher levels

21. Title: European Insurance Intermediary (eficert) Document: Certificate of European Insurance Intermediary (eficert)

22. Most “Europeanly” yours…, Thank you very much for your attention!