What is an Associate In Fidelity And Surety Bonding (AFSB)
Associate in Fidelity and Surety Bonding, or AFSB, is a designation earned by financial professionals who advise clients in surety insurance. The designation is bestowed by the American Institute for Chartered Property Casualty Underwriters, a nonprofit organization that provides credentials and education programs for the insurance industry in America.
The test and training for this credential is administered by The Institutes, a subsidiary of the American Institute for Chartered Property Casualty Underwriters. The Associate in Fidelity and Surety Bonding, or AFSB, designation indicates that the holder has demonstrated knowledge of suretyship, its principles and practices, as well as surety contracts and how they should be managed.
BREAKING DOWN Associate In Fidelity And Surety Bonding (AFSB)
Earning the Associate in Fidelity and Surety Bonding (AFSB) designation requires an individual to take a series of exams that cover different aspects of surety and the surety industry. The courses leading up to the exam can be self-taught, though instructor-led classes may be available. They are based on material that can be purchased from the test taking authority. The Institutes do not require the applicant to have any higher education or experience requirements to earn the designation.
In order to earn the AFSB, an applicant must complete five foundation courses. These introductory courses cover the principles of suretyship, contract surety, commercial surety and crime insurance, business law for insurance professionals, and finance and accounting for insurance professionals. The applicant must also pass a fifty question exam on either ethical guidelines for insurance professionals, or on ethics and the Chartered Property Casualty Underwriter (CPCU) code of professional conduct.
The amount of time it takes to complete this course is estimated at 15 to 21 months. Each foundation course has a test that must be passed. Each exam takes an estimated two to three hours to complete, and can be either multiple choice or essays. All exams are computer-administered, and no continuing education coursework is required. Applicants who pass the Associate in Fidelity and Surety Bonding examinations can earn credit toward the Associate in General Insurance (AINS) or Associate in Insurance Services (AIS) designations.
Fidelity and Surety Bonding
Fidelity and surety bonding is an area of insurance whereby one party is insuring itself against the risk that another party will fail to complete an act or refrain from doing something it promised not to do. Surety bonding refers to bonds that involve three separate parties, while fidelity bonds are insurance policies that can involve just two parties.