The myth that most professionals in the insurance industry spend their days and evenings selling policies is fading into the landscape. While sales will always be a major peg of the industry, college students and graduates are finding that opportunities in insurance are diverse, dynamic and rewarding.

Gibriel Cham, manager of underwriting and corporate risk at the Housing Authority Insurance Group in Cheshire, Conn., said the insurance industry is attempting to dispel that myth of sales by introducing students to a wealth of other career paths. Cham works in what is called the "captive" part of the industry in which specific insurance needs are marketed to groups with like interests, such as in public housing where insurance may be difficult to obtain.

"The industry has to play a better role in terms of educating the students of other things out there other than sales. Sales is a good way to start if you want to make money. If you are tired of doing sales you can go into underwriting, you can go into accounting, finance, MIS (management information systems) and all of those other things. I think it's a matter of understanding that it's more than just sales to insurance," Cham said.

Unlike other fields where students may know immediately and after they may want to work professionally as an attorney, physician, journalist or accountant, for instance, prospective insurance professionals have to look deeper at career opportunities, Cham says.

"It's kind of difficult at the beginning because all they saw was someone coming and knocking at your door talking to your parents about selling them homeowners policies or auto insurance. You don't see the actual operation itself," he says.

The job of insurance companies is to assume risk. Insurers write policies, thus transferring risks customers face to themselves. Companies provide several classes of insurance – primary property and casualty insurance that protect material goods like cars, homes and business, life insurance to protect people, and health insurance.

In a January 2005 survey, the Equity Research Department at Standard & Poor's in New York noted that the property-casualty insurance industry is facing a number of critical challenges in 2005, including a softening of prices for premiums and heightened regulatory risk. However, the independent investment researcher noted that "the overall industry picture continues to look fairly healthy."

While the U.S. Department of Labor's Bureau of Labor Statistics (BLS) forecasts slower-than-average employment growth for the industry through 2012, it says opportunities will be favorable for persons with the right qualifications and skills. The industry is a trillion dollar business with more than 2.3 million employees in the United States.

Karen Rice, a senior insurance analyst in the risk management department at Marriott International Inc. in Bethesda, Md., a worldwide hospitality company, is a testament to the diversity of insurance careers. Rice worked on the agency side of the business, but found her calling working for a corporation in insurance. She works in international insurance, handling insurance in politically risky global hot spots, and reviews and evaluates insurance contracts for Marriott locations worldwide.

Rice says many insurance professionals find their niches in the industry as they grow in their careers.

"You don't really decide (on an insurance career) when you decided to go to college and said that you want to be an insurance major. No. You kind of fall into it," Rice says.

The BLS' Occupational Outlook says people who are flexible, ambitious and competitive do well in insurance, particularly in the sales area of the industry. Other attributes include interpersonal skills, expertise in a wide range of insurance and financial services products. One trend has multilingual agents in high demand because they can serve a wider range of customers, the BLS say.

The median annual earnings of professionals in sales were $40,750 in 2002, according to the BLS. The middle 50 percent earned between $28,860 and $64,450. The lowest 10 percent had earnings of $21,730 or less. The highest 10 percent earned more than $101,460. Median annual earnings in 2002 in the two industries employing the largest number of insurance sales agents were $40,480 for insurance agencies and brokerages and $42,130 for insurance carriers.

Overall, salaries vary throughout the industry. Independent agencies in some areas may offer starting salaries in the upper $20,000 range, but the larger, national firms typically hire graduates in the mid to upper $30,000 range.

The largest firms by market share by property/casualty premiums written in 2003 were State Farm Mutual Group (10.5 percent of the market), followed by American International Group, Allstate Insurance Co. Group, Liberty Mutual Group and Travelers Property Casualty Corp., according to the Insurance Information Institute, a non-profit, communications organization in New York sponsored by the property/casualty insurance business. The five largest firms by revenue in property/casualty are American International Group, Berkshire Hathaway, State Farm, Allstate and Hartford Financial Services.

In insurance underwriting, in which professionals identify and calculate risk, establish premium rates, and write policies, decision making and analytical skills are paramount, according to the BLS. Because insurance applications are supplemented with reports from loss-control consultants, medical reports, data vendors and actuarial studies, underwriters must decide whether to issue the policy and are the conduit between the insurance carrier and the sales agent. Underwriters must be computer literate, as technology is helping them to manage, analyze and rate applications more effectively today.

Education requirements for underwriter candidates vary, but large insurance companies prefer college graduates with degrees in business administration or finance with courses in accounting. But the BLS points out that a bachelor's degree in any field, along with courses in business law and accounting, will usually qualify you.

While sales and underwriting positions are highly visible in the industry, as students look more closely at insurance they will see job titles like actuary, group insurance representative, broker, insurance regulator, claims representative, pension specialist, auditor, customer service, risk manager, benefits manager, loss control expert and financial planner. Here are definitions for a sampling of some of these titles:

Actuary: Actuaries assess accident and risk likelihood by doing statistical analyses. They use their statistical skills to help the carrier determine prices for policies and the types of clients to insure. Actuaries are usually well informed about societal trends and legislation that may affect risk.

Benefits manager: These specialists manage health and life insurance programs for employees of companies who receive these benefits as a part of their employment. Benefits managers work closely with human resources professionals at companies.

Claims representative: These adjusters negotiate claims for people who have losses, helping the insurance company and the insured reach a fair settlement. Claims reps work in the office and in the field.

Customer service representative: These professionals provide a link in the field between sales agents and the insurance companies. Customer service reps must be good communicators knowledgeable of the company's products and services.

Loss control expert: These specialists help client companies minimize accidents and losses by identifying potential hazards and helping to mitigate them.

Risk manager: Professionals in this category help organizations identify risks and make recommendations for solving the risks, which may include insurance or precautionary actions. Risk managers also assisted in managing benefit plans for a company's workers and typically make business presentations to a firm's management.

Other positions: Marketing, business development, information technology and corporate finance are all positions in the insurance industry.

Insurance industry companies tend to be large, diverse organizations that by necessity hire many people and amass considerable assets to keep their risks as low as possible when paying out claims. Many jobs require specialized certification or licensing, and regulations typically differ from state to state.

The job of actuary is one of the specialized positions in the industry. Ollie Sherman, managing principal at Tillingast business of Towers-Perrin in Arlington, Va., says achieving certification as an actuary is a career maker.

"I think that the designation is very well respected within the financial industry. It's kind of opened doors. It probably provided opportunities that would have been challenging at the time I came through. The insurance industry in particular and the financial industry in general are pretty conservative. So having that credential made it easier to move into the industry," Sherman says.

Sherman said that he had been a math major in college and kind of fell into the industry after seeking career opportunities. Actuaries don't have to be math majors, "but it certain requires some aptitude for math. The types of issues actuaries address tend to be business issues," he says.

Salaries vary - Independent agencies in some areas want to bring college grads in at the upper 20s (not enough). Small insurance companies in some areas do also. The larger national companies typically hire at the mid to upper 30s (35-39).

In recent years, the industry has undergone numerous changes within the financial arena as insurance companies can market products other than insurance, and non-insurers, such as banking companies, can sell insurance. The Financial Services Modernization Act of 1999 changed the manner in which financial and insurance firms compete.

John Robinson, a senior actuary at Nationwide Mutual Insurance Co. in Columbus, Ohio, says many insurance careers do not always correlate with a student's focus in college but there is a growing awareness of opportunities the industry offers. Robinson says that in many respects professionals in the industry have a special calling.

"If you look at a company like Nationwide, one of the things of getting into a field like insurance is that you are helping people protect their livelihoods. In a way you are doing something which provides a social good. If you have that approach in what you're doing, you can make a mission of your career in insurance," Robinson says.