Insurance Policy Processing Clerks review, verify, change, cancel, and reinstate the insurance policies of their company's policyholders.  

NATURE OF THE OCCUPATION

Insurance Policy Processing Clerk may:  

Review and verify data, such as age, name and address, principal sum, and value of property on insurance applications and policies  

Examine letters from policyholders or agents, original insurance applications, and other company documents to determine what changes to make  

Calculate premiums, commissions, adjustments, and new reserve requirements  

Transcribe data to work sheets and assigning computer codes for use in preparing documents and adjust accounts  

Receive a computer printout of policy cancellations or obtaining the expiration card from the file  

Compute the refund, typing the cancellation letter, and mailing them along with the canceled policy to the policyholder  

Notify the insurance agent and the accounting department of the cancellation  

Check computations on interest accrued, premiums due, and settlement surrender on loan values  

Correspond with sales personnel to inform them of the status of insurance applications being processed  

Tools, equipment, and work aids used may include:  

OCCUPATIONAL SPECIALTIES

Insurance Policy Processing Clerks may specialize in these area:  

209.687-018 REVIEWERS check insurance applications to ensure that all questions have been answered.  

219.362-042 POLICY-CHANGE CLERKS compile data on changes in insurance policies and change policy records to conform to the policyholder's specifications.  

203.382-014 CANCELLATION CLERKS terminate insurance policies as requested by agents.  

219.362-050 REVIVAL CLERKS compile data on lapsed insurance policies to determine automatic reinstatement according to company policies.  

219.482-014 INSURANCE CHECKERS verify the accuracy of insurance company records.  

In addition to learning about these specialties, you may also find it helpful to explore the following MOIScripts:  

WORKING CONDITIONS AND REQUIREMENTS

Insurance Policy Processing Clerks usually work under an office manager's supervision. They work in offices that are usually well lighted and well ventilated. They usually work in metropolitan areas at the company's home office.  

Insurance Policy Processing Clerks work 8 hours per day, 5 days per week. Insurance Policy Processing Clerks may work overtime depending on the claim loads.  

You Should Prefer:  

• Activities that communicate ideas or information to other people  

• Activities of a routine, definite, organized nature  

• Activities that involve the use of machines, processes, or methods  

You Should Be Able To:  

• See detail/errors in numbers/spelling/punctuation in written  

materials  

• Follow instructions, reason, and make judgments  

• Understand the meanings of words and ideas  

• Communicate well, both orally and in writing  

• Perform arithmetical operations quickly and accurately  

• Repeat activities or tasks according to a required routine procedure  

• Work within precise limits or standards of accuracy  

Math Problem You Should Be Able to Solve:  

A family's present policy costs them $1500 a year and their son just turned 16. What will their new policy cost them annually if a young driver increases the cost of the policy $300 every 6 months?  

Reading Example You Should Be Able to Read and Comprehend:  

Payment of the premiums for these policies will be made by pay roll deduction. Since these are individually owned policies, Associates may maintain their coverage even if their employment terminates.  

Writing Example You Should Be Able to Produce:  

You should be able to write a report explaining an individual's policy to them and describing their coverage.  

Thinking Skill You Should Be Able to Demonstrate:  

You should be able to look at an individual's record and then decide what their premiums should be.  

Most employers prefer to hire high school graduates. Reading comprehension, as well as good basic grammar and arithmetic skills, is necessary. Business education courses that provide basic clerical skills, typing and knowledge of office practices are useful.  

EDUCATION AND PREPARATION OPPORTUNITIES

NOTE: On-The-Job Training provided by the employer or a High School Diploma or Equivalent or a Certificate (program of up to one year of study beyond high school) or an Associate Degree (two years of study beyond high school) may qualify a person for this occupation.  

The following education and preparation opportunities are helpful in preparing for occupations in the MOIScript:  

***SCHOOL SUBJECTS***  

0600 BUSINESS , 0700 CAREERS , 0900 COMMUNICATIONS , 1000 COMPUTERS , 2200 MATH , 3200 TECHNICAL DRAWING , 3300 TECHNOLOGY  

***VOCATIONAL EDUCATION PROGRAMS***  

There are no Vocational Education Programs related to this MOIScript  

***POSTSECONDARY PROGRAMS***  

138 GENERAL OFFICE CLERK TRAINING  

Programs in General Office Clerk Training are designed for the individuals who wish to learn the basic clerical skills needed for employment in the various office settings. The programs will prepare students to perform such duties as duplicating data, compiling records and reports, tabulating and posting data in record books, sorting and filing correspondence and records, handling mail, and operating office machines.  

Courses vary from school to school but may include:  

  Search for a College and/or Instructional Program  

***APPRENTICESHIP OPPORTUNITIES***  

There are no Apprenticeships related to this MOIScript  

***MILITARY TRAINING PROGRAMS***  

There are no Military Programs related to this MOIScript    

OPPORTUNITIES FOR EXPERIENCE AND METHODS OF ENTRY

Postsecondary education programs in general office clerk training with practical work experience segments might offer opportunities for part-time clerical experience. Summer employment also may allow students to gain practical experience.  

            School-to-Work opportunities include:  

informal apprenticeships  

mentorships  

job shadowing experiences  

touring a local Insurance Policy Processing Clerk employer  

internships  

volunteer work with a Insurance Policy Processing Clerk employer  

community service work with an agency  

The most common method of entry is direct application to employers. Assistance is available at school placement offices and local offices of Michigan Works!. Newspaper want ads often list job openings.   In addition, you should access and search the Internet's on-line employment services sites such as: 

Michigan Work! ( http://www.michiganworks.org )    

You should also enter an electronic resume on these on-line services.

EARNINGS AND ADVANCEMENT

Salaries of Insurance Policy Processing Clerks vary with the individual's experience and the location and size of the company. Nationally, Insurance Policy Processing Clerks had weekly earnings ranging from $473in 2001.  

In Michigan, Insurance Policy Processing Clerks working for one large company had weekly earnings ranging from $625to $673in 2002.  

Depending on the employer, fringe benefits for Insurance Policy Processing Clerks may include paid vacations, life and medical insurance, paid holidays, and pension plans. These benefits are usually paid for, at least in part, by the employer.  

Insurance Policy Processing Clerks usually start as clerk typists. Processing Clerks may advance to claims approver then to claims examiner. Advancement depends on skills, training, additional education, and supervisory ability. In general, most insurance companies use a promotion- from-within policy.  

EMPLOYMENT AND OUTLOOK

Nationally, there were about 289,100 Insurance Policy Processing Clerks employed in 2000. Employment is expected to decline through the year 2010. The industry distribution for Insurance Policy Processing clerks looked like this:  

Demand for insurance services should grow rapidly. However, the increase in office automation systems will limit opportunities in some administrative support occupations including Insurance Policy Processing Clerk. Full- and part-time job openings will be available because of the large number and high turnover rate of clerical positions.  

Approximately 4,900 Insurance Policy Processing Clerks are employed in Michigan. All were employed in the insurance industry by insurance companies, agents, and brokers.  

The employment of Insurance Policy Processing Clerks in Michigan is expected to grow as fast as the average through the year 2008. An average of 100 openings is expected annually, with all due to replacement of workers who retire or leave the occupation for other reasons. Additional openings will occur as workers change jobs or occupations.    

MICHIGAN'S AREA EMPLOYMENT OUTLOOK TO 2008    

EMPLOYMENT                                 NUMBER                PERCENT                   PROJECTED YEARLY     REGION                                             EMPLOYED           GROWTH                    JOB OPENINGS    

Ann Arbor Area                                    35                           6.6                               3  

Battle Creek Area                                195                         -7.3                               3  

Benton Harbor Area                             65                            0.0                               1  

Central Michigan                                  35                           24.3                               1  

Detroit MSA                                       2,580                       3.0                                 41  

East Central Michigan                          25                          12.0                                 0  

Flint Area                                            225                        18.8                                 7  

Grand Rapids Area                             350                         24.6                                13  

Jackson Area                                      90                          17.0                                 3  

Kalamazoo Area                                130                         12.3                                 4  

Lansing MSA                                     475                         22.8                                 17  

Muskegon Area                                  30                          12.9                                  0  

Northeast Lower Peninsula                 40                          22.5                                   2  

Northwest Lower Peninsula                80                          20.7                                   3  

Saginaw MSA                                    85                         15.1                                    2  

Thumb Area                                       45                         13.3                                    2  

Upper Peninsula                                  80                         7.3                                     2  

West Central Michigan                        40                         0.0                                     1  

 MSA designates a Metropolitan Statistical Area    

SOURCES OF ADDITIONAL INFORMATION

Printed Occupational information is available upon written request from the sources below.  

SUMMARY PROFILE

The occupation of Insurance Policy Processing Clerk can be summarized by the following:  

Copyright © 2003 Michigan Department of Career Development