Low Albertan broker pass rates are affecting the local insurance market
Published: March 26, 2018
Updated: July 24, 2018
Author: Luke Jones
CATEGORY: Industry News
Would be insurance professionals in Alberta are literally failing to pass the grade. Indeed, the pass rate in the province’s for wannabe brokers in the Level 1 Licensing test sits at just 36.7%, which is a terrible figure no matter what the class. Naturally, the insurance industry in Alberta is concerned by the worrying statistic.
“One of the complications is that we’re one of the provinces that do not allow the Canadian Accredited Insurance Broker (CAIB) designation as well as the Chartered Insurance Professional (CIP) designation as equivalencies to the licensing exam,” explained George Hodgson, chief executive officer of the Insurance Brokers Association of Alberta (IBAA).
As reference, other professional qualifications hold a pass rate of around 60%. Speaking to Insurance Business Canada, Hodgson said this is not something new and the pass rate has been at the low level for about six years. Because of this trend, the broker industry in Alberta has been negatively affected.
“We are one of the few industries right through our downturn in 2014 onwards that has been looking for people, and we can’t get people licensed,” said Hodgson. “When basically 63% of people that write the exam don’t pass it, that makes it very tough to get people into the industry.”
In response to the poor results, the IBAA is working to resolve the issue. The association says it is working with the General Insurance Council and Alberta Insurance Council to bring more choices to students.