CLU® Program Requirements

To earn the Chartered Life Underwriter (CLU®) designation, the following are required:

• Complete CLU® coursework within five years from the date of initial enrollment (or five years from the date of January 1, 2006, if previously enrolled in the CLU® program).
• Pass the exams for all required and elective courses. You must achieve a minimum score of 70% to pass.
• Meet the following experience requirements: three years of business experience immediately preceding the date of use of the designation are required. An undergraduate or graduate degree from an accredited educational institution qualifies as one year of business experience.
• Take the Professional Ethics Pledge.
• When you achieve your CLU® designation, you must earn your recertification every two years.

CLU® Exam Information

CLU® exams are administered electronically at national testing centers throughout the year by The American College via the Pearson VUE testing center network.

The exam consists of 100 objective questions based on the curriculum and is two hours in length. Typically, there are three types of questions included in the exam-straight-answer, multiple-option, and all-except questions.

Your results will be provided immediately upon exam completion.

CLU® Curriculum

You will need to pass eight examinations—one for each of the five required courses and three elective courses—to earn the CLU® designation: Click on each course name below to view the course description.

Required Courses

311: Fundamentals of Insurance Planning

Focuses on a financial planner's role in planning for clients' insurance needs. Key topics in this course include insurance and the management of risk; life insurance; group and individual medical expense insurance; and property, liability, and homeowners insurance.

323: Individual Life Insurance

Provides a comprehensive look at the important issues involved in individual life insurance. Some of the main topics covered include the different types of life insurance policies offered, calculating premiums and reserves, time value of money, settlement options, reinsurance, and life insurer investing and financial statements. Overall, this course covers the theories and principles of life insurance that every financial professional should know.

324: Life Insurance Law

Covers the legal concepts in life insurance, including such topics as the life insurance contract, waiver and estoppel, the incontestable clause, policy provisions, premiums, and life insurance beneficiaries. After completing this course, students will understand the legal duties and rights of insurers and policyowners and the ways that insurers and insureds resolve disputes.

330: Fundamentals of Estate Planning

Provides an overview of gift and estate tax principles and strategies. Specific topics discussed include lifetime gifts and transfers at death, the federal gift tax, the gift and estate tax marital deductions, buy-sell agreements, and calculating the federal estate tax. After completing this course, students will gain a better understanding of the estate planning process and specific strategies used to develop client-specific estate plans.

331: Planning for Business Owners and Professionals

Discusses the fundamentals of organizing a business and planning for its continuity. Topics vital to understanding this course include tax and legal aspects of different types of businesses, business succession planning, buy-sell agreements, methods to transfer a family business, lifetime dispositions of a business interest, and business valuation.

Elective Courses (Three are required)

300: Financial Planning: Process and Environment

Provides an in-depth understanding of the role and responsibilities of a financial planner and provides students with analytical skills to assist their customers in their financial decision-making process. An emphasis is placed on the time value of money, ethics, and the analysis of the regulatory, economic, and legal challenges that a financial planner will face in the future.

321: Income Taxation

Gives a detailed overview of the federal income tax system and takes a closer look at gross income; exclusions; deductions; credits; taxation of corporations, partnerships, and partners; and taxation of annuities, life insurance, capital gains and losses, and corporate distributions.

326: Planning for Retirement Needs

Provides a comprehensive look at the important issues in retirement planning. This course concentrates on retirement planning for individuals, businesses, and the business owner. Other retirement planning topics covered include IRAs, qualified and nonqualified plans, matching retirement plans with client interest, senior needs planning, and Social Security.

328: Investments

This course is significant to all financial planners because it outlines the fundamentals of investments. It provides an in-depth look into the securities markets, futures markets, risk and return measures, portfolio performance evaluation, and debt instruments. After completing this course, students will have an enhanced understanding of stocks, bonds, options, derivatives, and combination securities.

334: Estate Planning Applications

Requires students to gain a deeper understanding of how the various estate planning tools and techniques work. This course discusses gift and estate tax concepts and life insurance planning strategies. Topics covered include estate settlement costs, estate reduction techniques, life insurance trusts, charitable contributions, and planning issues related to the marital relationship.

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