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Anti-Money Laundering (AML) Training Requirements for Various Carriers

Christy Gass
Licensing & Contracting

Do you feel like you are completing AML training more than once every 24 months because certain carriers won’t accept the AML training you have already completed? Is your appointment or new business being held up because of AML training? Are carriers updated when you complete AML training? In this article, you will find the answers to many of these questions and some information to help guide you the next time you need to complete AML training.

First thing's first: what is AML training and why do you have to complete it? The USA Patriot Act includes provisions to prevent the financial services industry from being used for money laundering and terrorist financing by criminals and terrorists. This Act requires insurance companies to establish anti-money laundering programs that comply with the minimum standards set by the Department of the Treasury. Most of these AML programs require producers to complete AML training every 24 months to satisfy these requirements, but there are other specific guidelines you may not be aware of.

The insurance carriers all have their own requirements and they differ from carrier to carrier. Therefore, we are going to list some of these requirements to help make you aware of the differences. Please note that this is not an exclusive list of all the carriers’ requirements, and they are subject to change without notification.

  1. Some carriers will only accept AML training from a list of approved vendors. Since each carrier establishes their own AML program, they may require the training to meet required guidelines and cover certain topics. Therefore, these carriers establish a list of approved vendors that they will accept training from because they have confirmed the training meets their requirements.

    For example, Pacific Life only accepts AML training from these approved vendors: Kaplan, WebCE, FINRA, QuestCE, Sandi Kruse, Insurance Training Associates, SuccessCE, RegEd and LIMRA. Other carriers such as American Equity, Great American, John Hancock, National Life Group and Mutual of Omaha have approved vendors as well. Additionally, there are some carriers that will accept any provider, and others that will only accept LIMRA, such as MetLife and National Western.

    If you are concerned about completing training through an approved vendor, we have found that LIMRA is a good provider to use because the training is free and accepted by most carriers. If you would ever like to check on the approved vendors for a particular carrier, feel free to check in with Licensing, or you can always call the carrier for this information.
  2. As mentioned above, most carriers require AML training to be completed every 24 months. However, there are some carriers that require AML training to be completed every 12 months, such as American General, Foresters, and Great American.
  3. There are some carriers that require you to complete their specific AML training in addition to your base course that is required every 24 months. One of these carriers is Prudential, and their carrier-specific AML training is offered through LIMRA only.
  4. How does AML affect your appointment/ new business? Some carriers require an agent to have AML training on file before they will process the agent’s appointment, such as Pacific Life. When Licensing is aware of this requirement, we will let you know if the AML we have on file is current, or if we need a copy. Other carriers don’t require the AML training to be on file until a policy is ready to be issued. In these instances, the carriers will either notify First Heartland’s New Business Team or Licensing requesting a copy of your AML .

    Most carriers will not issue a policy until AML training is received. Therefore, please make sure Licensing has a copy of your most current AML on file to help speed up the process of issuing your new business.
  5. Last but not least, is there a way to notify all the carriers of your updated AML training? As much as we wish this were true, it simply isn’t possible. However, if you complete training through LIMRA and the carriers’ you are appointed with subscribe to LIMRA, the carriers are able to verify your training. Your AML training information is automatically fed into their system. Unfortunately, not all carriers subscribe to LIMRA. In these instances, the carrier requires that you submit a certificate of completion to verify that you completed training. Since LIMRA does not provide a certificate, some carriers will accept a screen shot of your home age when logged in as verification.
Any time that you complete AML training, please feel free to send a copy of your certificate or a screen shot from LIMRA to Licensing so we have it for our records. We will be able to include this with new appointment paperwork when necessary, and will be able to send it to any carriers that request without having to reach back out to you.

After reviewing this information, you can see that there really isn’t one specific AML training that is going to satisfy all carriers’ requirements, but hopefully some of these tips can help you reduce the amount of different trainings you are required to take. If you ever have any questions on the specific requirements for a carrier or general AML questions that were not answered above, please feel free to reach out to Licensing, and I will be happy to check for you.




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