Premium auditors work for large insurance companies, insurance brokerage firms and the risk management teams of insurance consulting firms. These professionals generally audit risks with high degrees of complexity and premium levels of $100,000 and greater. This allows the insurer to minimize risk by assessing it and developing a strategy to help offset it.
Salary and Outlook
The 2009 average annual salary for a premium auditor is $52,000, according to Indeed.com. The Bureau of Labor Statistics states, "Strong growth of accountants and auditor jobs over the 2006-16 decade is expected to result from stricter accounting and auditing regulations, along with an expanding economy. The best job prospects will be for accountants and auditors who have a college degree or any certification, but especially a CPA." The BLS goes on to state that the growth should be around 18 percent.
This career choice requires a bachelor's degree in insurance and risk management, accounting or another related business discipline. However, the applicant should have a minimum of several insurance- and audit-related courses. This position requires a keen attention to detail and the ability to travel a great deal. Although much of the work can be done in the office, many companies will have their auditors visit multiple company or agency locations. The travel requirement can be upward of 50 percent or greater. The job requires a couple of years experience within the insurance industry.
Nature of the Work
Audit jobs are considered comfortable. All of the work is conducted in office buildings and insurance agency locations. These environments are often climate controlled. This is a white collar opportunity and does not require any degree of manual labor. This is a professional position that will generally require business or business casual dress. The work includes reviewing policies and policy claims for an insurance company and its clients.
The primary duties include preparing for all aspects of field auditing, including scheduling and completing audits, resolving audit questions and problems and providing audit completion documentation to the proper management staff. The premium auditor is responsible for building relationships with producers and commercial underwriters in order to increase the employee's effectiveness in his position. These opportunities require a high level of collaboration with the audit staff and loss prevention team.
Premium auditors conduct policy and premium review meetings with the clients, new account reviews and business income consultations. In addition, premium auditors assist in training new producers and premium auditors. The premium auditor must be a great communicator. They act as the primary contact between the producers and the loss control or prevention teams. Premium auditors work directly with the risk management group in relation to the policy risks associated with each individual client and that client's claim and premium history.
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