Complete Beginner's Guide to CRM Exam

There are so many risks involved in today’s businesses that entrepreneurs have to be more than ready to face them. Risk Management is, therefore, a necessity for any business house to succeed in the long term. Since risk involving money is greater, accounting professionals all over the world agreed upon the fact that the community needs to work towards the understanding and preparation of the risks involved in the business. The financial industry, therefore, formed organizations to impart lessons on the topic of risk management. Certified courses ensued; today, a Certified Risk Manager is a much-in-demand course for accounting professionals.

Therefore, we have prepared the article in great depth with all the nuts and bolts to provide you with all the CRM course details. Let's take a look at the course and get a better understanding of it entirely. Let’s begin…

• The overall purview of risks in any business will always be there, and it is set to increase with growth. A CRM course, therefore, is a must to be prepared for the current risk management thinking, standards, and regulations across the world.
• The course has a structured curriculum that begins with the basic concepts of risk and risk management, enabling even the poorest informed person to become qualified to practice these in real-life situations.
• The course increases a person's confidence and competence in finance, paving the way for success. A CRM holder enjoys an edge over his peers and also the chance to upgrade to Certificate Membership and use the internationally recognized designation IRMCert.
• A CRM certificate is appreciated by employers, particularly in the field of insurance and finance. The designation is a lucrative achievement to attain high-risk management jobs and a great salary package.

Below are the basic details of the program.

Certified Risk Manager is a finance course offered by the National Alliance for Insurance Education and Research. A finance professional interested in risk management and fields related to it, such as insurance, loss control, and legal accounting, claims specialists should take this course to climb the corporate ladder. The Certified Risk Manager Program prepares the candidate for knowledge of hazards and management risks an organization is exposed to in the financial sector.  This knowledge is combined with practical training in sophisticated concepts of leadership, managerial, and organizational skills.

• Roles: A CRM certified enjoys the designation change of being the “Planners, Protectors, and Guardians” of a company.
• Exam: The CRM certificate is divided into five courses: Principles of Risk Management, Analysis of Risk, Control of Risk, Finance of Risk, and Practice of Risk Management.
• Exam Dates: The exam is held twice yearly, in June and November.
• The Deal: The course covers the basic concepts of risk management; however, the questions in the exams are based on the lessons covered in the class as opposed to the recognized standard of creating question banks from the study material or books that many other certifications follow. A speaker presents incorrect information or ideologies in the class. Although the information is inaccurate, students are tested on their business knowledge and common sense of those inaccuracies.
• Eligibility: No prior educational qualification or work experience is required to be eligible for the exam. The course is open to active risk managers, accountants, financial and insurance professionals, loss control and legal experts, or anyone associated with an organization's risk management. Anyone who wishes to acquire knowledge and benefit from it is welcome to the course.

• The CRM certificate course can be successfully achieved on the completion of five practically oriented within five calendar years.
• The five courses also have the optional 2-hour essay examination to be attempted, which must be completed if a candidate is interested in achieving the designation.
• Annual updates are required by attending a related two ½-day course, an annual continuing education requirement that the candidate agrees to achieve the designation.

• The CRM course is a classroom-based instructional program wherein each course of the five program certificates is offered in the classroom or online by practicing risk management professionals.
• The online classroom courses last five weeks with a three-day exam period. Participants are expected to spend at least 4 hours per week attending two live webinars (day and evening options).
• Thus, the study time for each classroom-based course lasts 2-1/2 days, while the online tutorial lasts five weeks and in these classes, the exam is based and administered by the faculty.

What do you earn? The CRM designation!

• A professional with great experience who decides to take the CRM program; speaks volumes of his commitment to his organization and industry.
• The CRM designation adds to a professional’s reputation and invariably adds profits to his organization.
• The CRM program not only expands a person's knowledge but also broadens their horizon in terms of the new practical ideas and cutting-edge skills that could be used in the company's daily business.
• Firms often require a CRM certification for certain designations, and achieving it could lead to lucrative career opportunities. A certified CRM is more marketable in the job market and stands a better chance of securing a job among his peers.

The CRM certificate is rigorous, and a person with at least two years of working experience in this field should decide to take up this certification course. Although the five courses in the program are separate, they are overall a component of the whole and provide a complete and thorough knowledge of the working of risk management practices in the business.

1. Principles of Risk Management – It tests the overall knowledge of the participant about risk management from the concepts such as assessing to managing risk and ethics of the risk management process. The Principles of Risk Management course requires 20 hours of study time with exercises and case studies. At the end of the course, participants can take the 2-hour exam to test their knowledge and take one step towards the desired designation.
2. Analysis of Risk – It covers topics about analyzing and measuring risk and possible data loss. Analysis of Risk course includes topics and concepts such as risk analysis and qualitative analysis, as well as cash discounting concepts. There is a two-hour exam at the end of the course.
3. Control of Risk – This course is all about managing risks with crisis management policies, safety proficiency, dispute resolution, and Employment Practices Liability. As for the above courses, there is also a 2-hour exam at the end.
4. Financing of Risk – It is one of the most complex programs and covers topics like financing options, quantitative analysis, accounting, and auditing perspectives. The course primarily concentrates on the finding of various financing options to ensure the minimization of operational losses.
5. The practice of Risk Management – The course prepares a professional about the strategies and implementation of the risk management process within an organization. It also teaches how to build a team of risk management professionals and risk management for enterprises. This course also covers important professional concepts, like due diligence and monitoring.

The CRM final examination is a 2.5-hour essay/short answer exam, which needs to be attempted at an approved testing center. Virtual proctoring is provided to National Alliance students by ProctorU for a reasonable charge.

Source: Simplihired.com

Key Highlights of the CRM Exam Format

• The CRM courses don't need to be taken in any specific order. However, taking the five courses in the natural order of Principles, Analysis, Control, Financing, and Practice makes sense.
• A candidate is advised to take the Analysis of Risk course if he has little experience in limited experience or training in statistics and finance. The Financing of Risk course should be attempted only after the course of Analysis as there are applications of the principles taught in Analysis that are needed to understand and apply in the Financing of Risk concepts.

The CRM classroom tutorials for each course, online and physical, cost $430. The registration fee includes a notebook for the classroom participants and an e-notebook for the online participants.

The Exam result notifications are posted on MyPage in My Document within 4 to 6 weeks following the course.

The scholarship is available for professionals who apply for the CRM course. The eligibility criteria for it are:

• A first-time participant in the CRM designation program.
• A full-time employee in the insurance or risk management industry.
• For an application for a scholarship for the CRM program, it is recommended that the individual has a minimum of two years of industry experience.
• A candidate should take any practical examinations – a passing grade is not required.
• The candidate should demonstrate a commitment to continuing professional education.

• Background in the industry and a minimum of two years of experience must crack the exam.
• Pay attention to the tutorials, as questions are based on the lessons taught.
• You do not have study materials or reference books to fall upon.
• Be alert and keep your business sense ticking during the classes. Non-factual statements are iterated to confuse you.
• Relax, there is no minimum passing grade required, so give your exam with a free mind.
• Read the questions with an alert mind to avoid errors.
• State the facts out if you know so that questions with non-factual elements would not confuse you.

Considering the factors that the CRM exam is offered in the classroom and taught by practicing risk management professionals, a candidate can gain insight into the current industry scenario to remain relevant in their field of work. The course is a great means to improve knowledge, enhance credibility on the work, and increase your earning potential. If you are interested, please take the initiative to achieve the CRM designation. Good luck to you!

This has been a guide to CRM Exam. Here we discuss a complete guide on the CRM exam, why you should pursue it, its fees, structure, passing strategies, tips, tricks, etc. You may also have a look at the following articles –

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• PRM Exam Guide
• FRM Exam Guide