AIP Interview Guidelines

AlP Interview Question Outline
I.

Company Background

General background information such as history in the Federal crop insurance program,
other operating lines of business, and employment of captive/independent agents.
II.

Competition Strategy & Operating Model

Competition strategy most effective in competing in the Federal crop insurance industry
and business operating model (centralization, level of automation, underwriting process,
etc.)
III.

Questions on Insurance Agents & Agents Compensation

Discussion topics will include: Contract with Crop Insurance Agents, Interactions with
Crop Insurance Agents (e.g. signing up new agents, major services provided to the agents
and agent turnover), Agent Compensation (commission and profit-sharing), and Cost of
Agents in Selling and Servicing the Federal crop insurance.
IV.

A&O Payment & RMA Regulations

Discussion topics will include: A&O Payment & Underwriting Gain/Loss Sharing with
FCIC, Extra Administrative Burden Arising from Recent RMA Regulations, and your
perspective on future RMA regulations and the Federal crop insurance industry in
general.
V.

LAE Expense & Other Operating Expense

Questions on LAE expense, and other Operating expenses including historical trend, cost
allocation methods and procedures that prove to help save costs and increase operational
efficiency.
VI.

Financial Reporting to RMA

We have some general questions on the reporting practice the company follows in filing
financials to the RMA (especially the financials contained in the Total Expense
Template). Specifically, we want to understand where the compensations paid to
independent/captive adjusters and independent/captive agents are recorded.
VII.

Other Questions