Robert Hunter says his organization fought hard for separation for a good reason. Some bankers are going the extra step to try and make sure their employees are up to the task of selling new and sometimes unfamiliar investment products. The Florida Bankers Association wants to make sure its member banks that sell insurance are fully versed in the complex subject. The association has formed an insurance division to assist banks with making sure their employees are properly trained. Fla.-based association, says a survey of the membership showed there was a lot of interest and need for such a group.
Insurance is a complex subject.
They're two very different lines of business with different needs, different regulatory functions and legislation. Bartlett says the association, which appears to be the first bank trade association in the nation to form an insurance division, has begun offering more courses that cover insurance and is in the process of determining additional educational needs. If you're in insurance you have to learn about the mutual fund. They just need additional training to understand the other side. Effron, like Hunter of the Consumer Federation of America, would like to see clearer disclosure when it comes to commissions.