National Society of Insurance Premium Auditors
Code of Professional Ethics

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PREAMBLE

The provisions of the Code of Ethics cover basic principles in the discipline of premium audit practices. Premium Auditors shall realize that individual judgment is required in the application of these principles. Premium Auditors have the responsibility to conduct themselves so that their good faith and integrity shall not be open to question. While having due regard for the realistic limits to individual skills, Premium Auditors shall promote the highest professional premium auditing standards to the end of advancing the interest of their companies or organizations and of the insurance business. The basic objective of the Code is to serve the public interest, not only by specifying minimum ethical conduct rightly expected of Premium Auditors, but by encouraging voluntary acceptance of standards of professional conduct far beyond minimal expectations.

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ARTICLES

1. Premium Auditors shall be prudent in the use of information acquired in the course of their duties. Premium Auditors shall not use confidential information for any personal gain or in a manner which would be detrimental to the professional conduct of the insurance business. Premium Auditors shall not disclose to any other person any confidential information entrusted to or obtained by them unless a disclosure of such information is required by law.

2. Premium Auditors shall provide the same high standard of professional service to all policyholders regardless of color, sex, national origin, or type of business pursuit. Impartiality, integrity, honesty, and common courtesy shall be shown to policyholders, agents, accountants, and others with whom they may be in contact while carrying out their duties.

3. Premium Auditors shall continually strive to improve their professional knowledge, skills and competence, in the insurance business generally and in the practice of Premium Auditing specifically.

4. Premium Auditors shall conscientiously perform their duties in a manner that will assure equity and improve the efficiency of the insurance mechanism.

5. Premium Auditors shall perform their duties in a dignified and professional manner that will bring credit to the insurance business, and they shall assist in maintaining and raising professional standards in the insurance business.

6. Premium Auditors shall refrain from entering into any activity which may be in conflict with the interest of their employers or which would prejudice their ability to carry out objectively their duties and responsibilities.

7. Premium Auditors shall not attempt by direct or indirect means to injure maliciously or falsely the professional reputation or practice of another Auditor.

8. Premium Auditors will cooperate in extending the effectiveness of the profession by interchanging nonconfidential or nonproprietary information and experience with other Premium Auditors and encouraging fellow Auditors to improve and update their education.