CAI professionals who provide insurance and risk-management services to community associations are endorsing a recent policy statement that denounces ethics violations in the insurance industry brought to light by New York Attorney General Eliot Spitzer.
Although the violations have not focused on community associations, the allegations have been a topic of discussion – and concern – among CAI members who hold the Community Insurance and Risk Management Specialist (CIRMS) designation.
The allegations prompted the Chartered Property Casualty Underwriters (CPCU) Society to denounce all practices that violate that organization's Ethics Code. Spitzer's allegations included price fixing and bid rigging.
"While these allegations are not specific to the community association marketplace, they do raise red flags for those who provide expertise and services to associations," said Robert A. Travis, CIRMS, a member of CAI's Business Partners Council and a former member of the CAI Board of Trustees. "We wholeheartedly support the action of the CPCU Society and hope that it serves as a stern reminder that fair and ethical business practices are essential."
The CPCU Board denounced "all pricing or compensation practices that undermine an open and fair marketplace or jeopardize the interests of the insurance buyer."
CAI's Code of Ethics for CIRMS dictates that members "act at all times with integrity and concern for (their) clients, ... obey all laws and regulations, and avoid any conduct or activity which would cause unjust harm to others."
CAI developed the CIRMS program in January 2003 in recognition of the growing importance and complexity of insurance and risk-management issues facing community associations.
To obtain the CIRMS designation, insurance and risk-management professionals agree to honor the Code of Ethics. They also must have five years of experience in the community association field; be members of CAI in good standing; satisfy continuing education requirements; and have had responsibility for at least 25 community association insurance programs during the previous three years or be able to demonstrate significant involvement in the provision of insurance and risk-management services to community associations.
For more information on the CIRMS designation or to obtain an application, go to www.caionline.org/career/designations/Pages/cirms.aspx or contact CAI Direct at 888-224-4321.
The following CAI members hold CIRMS designations:
CAI is the only national membership organization dedicated to fostering vibrant, responsive, competent community associations. The national organization and its 50-plus chapters represent managers, community association volunteer leaders, management companies and professionals who provide products and services to many of the more than 270,000 association-governed communities in the United States.
More information on the CPCU policy statement is available at www.cpcusociety.org/index.v3page?p=53311.
MEDIA CONTACT: Blaine TobinPhone: 703-970-9235