Modification History
Not applicable.
Unit Descriptor
Unit descriptor |
This unit describes the performance outcomes, skills and knowledge required to identify and assess risks involved with a complex insurance portfolio, and negotiate insurance changes/renewals. It may be applied where there are changes to the market conditions requiring a reassessment of an existing portfolio at renewal. This unit is applicable to individuals working within enterprises and job roles subject to licensing, legislative, regulatory or certification requirements including legislation administered by the Australian Securities and Investments Commission (ASIC). |
Application of the Unit
Application of the unit |
This unit applies to insurance broking roles and may be applied within organisations of various sizes and across a range of customer bases. |
Licensing/Regulatory Information
Not applicable.
Pre-Requisites
Prerequisite units |
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Employability Skills Information
Employability skills |
This unit contains employability skills. |
Elements and Performance Criteria Pre-Content
Elements describe the essential outcomes of a unit of competency. |
Performance criteria describe the performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the required skills and knowledge section and the range statement. Assessment of performance is to be consistent with the evidence guide. |
Elements and Performance Criteria
ELEMENT |
PERFORMANCE CRITERIA |
1. Determine needs of client with complex risk portfolio |
1.1. Risk assessment is completed in compliance with guidelines 1.2. Similar situations that identify precedent are analysed to assist in complex risk portfolio analysis 1.3. Comprehensive records are maintained of risk assessed and actions taken |
2. Identify changes to insurance program |
2.1. Changes are determined by appropriate review of portfolio requirements 2.2. Specialist advice is sought as required 2.3. Claims/losses history is obtained 2.4. Changes in risk context and external environment are taken into account 2.5. Client declarations/proposals are obtained as required by underwriters 2.6. Client preferred options are identified |
3. Negotiate complex renewals with insurers |
3.1. Selected insurers are identified and approached 3.2. Options and alternative portfolio structures are negotiated with insurers to obtain the most suitable program for client 3.3. Negotiated renewals with insurers incorporating the level of cover required by client |
4. Obtain client instructions for renewal |
4.1. Outcomes of negotiation with insurers are advised to client to enable an informed decision to be made 4.2. Advantages and disadvantages of available options are clearly explained to client 4.3. Detailed recommendations are made 4.4. Clear client instructions are obtained and documented |
Required Skills and Knowledge
REQUIRED SKILLS AND KNOWLEDGE |
This section describes the skills and knowledge required for this unit. |
Required skills |
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Required knowledge |
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Evidence Guide
EVIDENCE GUIDE |
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The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package. |
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Overview of assessment |
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Critical aspects for assessment and evidence required to demonstrate competency in this unit |
Evidence of the ability to:
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Context of and specific resources for assessment |
Assessment must ensure:
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Method of assessment |
A range of assessment methods should be used to assess practical skills and knowledge. The following examples, in combination, are appropriate for this unit:
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Guidance information for assessment |
Range Statement
RANGE STATEMENT |
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The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included. |
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Risk assessment may involve: |
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Complex risk portfolio may involve: |
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Specialists are usually: |
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Negotiated options with insurers include: |
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Unit Sector(s)
Unit sector |
Insurance broking |
Competency field
Competency field |
Co-requisite units
Co-requisite units |
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