What action should a CPCU member take upon discovering illegal activities in their organization?

A CPCU member has an ethical obligation to uphold the integrity of the insurance profession and promote compliance with legal standards. When illegal activities are discovered within an organization, the most responsible and ethical action is to report the activities to the relevant authorities. This course of action ensures that the issue is handled appropriately and aligns with the principles of professional conduct, which emphasize accountability, transparency, and the welfare of stakeholders.

Reporting illegal activities not only protects the organization but also helps maintain public trust in the industry. Failure to report could be seen as complicity, which could further exacerbate the situation and lead to greater harm, both legally and ethically. The CPCU Code of Professional Conduct highlights the importance of taking action in the face of unethical behavior, reinforcing that members should prioritize ethical considerations over personal career concerns.

By choosing to report, the CPCU member demonstrates a commitment to ethical practice and adherence to the law, contributing to a culture of integrity within the organization and the broader industry.