Anti-Money Laundering

This course is designed to meet the requirements of the insurance industry to educate their agents and brokers regarding money-laundering activity, especially as it relates to terrorist activities.

Money laundering is the act of processing the proceeds of crime to disguise their illegal origin.  Sometimes the funds did not originate from crime but the individuals want to conceal fund origins since they will be used for terrorist activities (the parties do not want to be identified in this case).  Insurers and agents have always had responsibilities regarding the processing of policy applications and ethical requirements.  They now have additional responsibilities related to anti-money laundering and terrorist activities as a result of changes in the Bank Secrecy Act and the passing of the USA PATRIOT Act. This will be a new frontier for the majority of those associated with the insurance industry.  Agents and insurers have traditionally felt that they were immune from such activity.  Today we realize that cash value life products offer an excellent method of money laundering.  Other types of products may also be used, such as property and casualty products and even health contracts, but it is the cash value products that are most likely to be used.

  This course:

  1. Describes the steps agents and brokers can take to work with their insurers to prevent money laundering activities in the insurance industry, which may be mandated education for those marketing specified products.
  2. Educates the agent on the types of products most likely to be targeted by money launderers.
  3. Educates the agent on the types of transactions to watch for that may indicate such activity is taking place or could take place in the future.
  4. Educates the agent on the steps to take if he or she suspects such activity.
  5. Educates the agent on the specific steps taken to launder illicit proceeds so that he or she may recognize the process should the agent come in contact with it.

This course is designed for any agent selling or working with insurance products.  It is written at a high school reading level for easy understanding.  At the end of the course are a list of acronyms and a glossary of terms.