Street-Level Ethics Workshop developed by: Chris Amrhein, AAI, Consultant

Course Objectives To gain insight into ethical behavior To understand why the terms “ethical” and “moral” are quite different (and why confusing them presents problems) To become familiar with inherent conflicts in being ethical (if it weren’t hard, everyone would do it)

Course Objectives To understand the value of a code of ethics To gain practice in seeing the ethical dilemmas in common insurance situations To exercise individual judgment and reasoning in addressing ethical dilemmas, relying upon accepted ethical approaches and applicable codes of ethics

Morality “Right vs. Wrong” decisions “From the heart and the brain” –“Feels” like the right thing –According to the way I was taught, this IS the right thing

Ethics “Right vs. right” decisions Come from the “head” (intellect) –Codes of expected behavior –Approved guidelines –Derived from morals

Today’s Headlines Are they “moral” or “ethical” issues? –Corporate cheating, corruption –Corporate criminal behavior –Individual profiteering –Stock manipulation –Others?

A True Moral Crisis Is Not Solvable By an Ethical Process…Why?

Because… First Step in Solving “Moral” Crisis Is to Determine “Right” from “Wrong” – NOT “Right” from “Right”

Approaches to Ethical Decisions Situation-Based Rule-Based People-Based

Situation-Based What is the best possible outcome given these circumstances?

Rule-Based Follow the rules, and let the chips fall where they may

People-Based Follow the Golden Rule: what would you have others do if faced by the same situation?

Inherent Weaknesses Situation-Based: Do the ends justify the means? Rule-Based: What should the rules be? People-Based: Who is to say if the moral code of the decider is good or bad? Codes of Ethics can help overcome weaknesses

Code of Ethics Provide set, agreed-upon guidelines for the behaviour of those who adhere to them Examples: –American Institute for CPCU –NAIW –CPIW

Questions for Assistance in Ethical Decision Making Deciding Whether the Situation Has Ethical Dimensions Gathering Information Identifying and Evaluating Alternatives Reaching the Decision Monitoring the Decision

Case Studies

Value Gain experience in working through possibilities Gain comfort in decision making Explore differences, consider options in a safe, controlled environment Practice makes perfect

Assumptions Scenarios must be realistic, not “pie in the sky” purely theoretical discussions Work through regular steps; do not try to solve all problems at once Goal is to strengthen your “ethical muscles” for future crises

Agent Case Studies #1 – A Friend in Need #2 – The Case of the Absent Audit

Underwriter Case Studies #3 – The Life of a Field Underwriter #4 – Who’s the Fairest of Them All?

Original Agent Case Studies #7 – How Low Will You Go? #8 – The Last Minute Certificate Crunch #9 – E&S: When Is “Worse” Better? #10 – Wrong Is Wrong, but Right for Client

Original Underwriter Case Studies #11 – School’s Out #12 – Ignorance Can Be Bliss #13 – He Who Hesitates Gets Lost #14 – Gone With the Wind

Now Go Forth and Be Ethical!!!

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