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Unit of competency details

FNSILF301A - Process and issue a life insurance policy (Release 1)

Summary

Usage recommendation:
Superseded
Mapping:
MappingNotesDate
Is superseded by FNSILF302A - Process a life insurance application"FNSILF301A Process and issues a life insurance policy" deleted - split into two component units FNSILF302A and FNSILF303A which more accurately reflect workplace activity 15/Jan/2012
Is superseded by FNSILF303A - Issue a life insurance policy"FNSILF301A Process and issues a life insurance policy" deleted- unit split into two component units FNSILF302A and FNSILF303A which more accurately reflect workplace activity 15/Jan/2012
Supersedes and is equivalent to FNSLIFE301B - Process and issue a life insurance policyUpdated content plus new unit format and coding change 23/Nov/2010

Releases:
ReleaseRelease date
1 1 (this release) 24/Nov/2010

Classifications

SchemeCodeClassification value
ASCED Module/Unit of Competency Field of Education Identifier 081103 Insurance And Actuarial Studies  

Classification history

SchemeCodeClassification valueStart dateEnd date
ASCED Module/Unit of Competency Field of Education Identifier 081103 Insurance And Actuarial Studies  24/Nov/2010 
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Modification History

Not applicable.

Unit Descriptor

Unit descriptor 

This unit describes the performance outcomes, skills and knowledge required to process new business applications for life insurance and issue customers with a life insurance policy. It encompasses all aspects of processing including checking the proposal, gathering information, preparing documentation, recording details and issuing the policy.

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 job roles in the life insurance sector 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 

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. Check proposal against validation criteria

1.1. Proposal is thoroughly matched against the relevant validation criteria  according to organisation procedures

1.2. Further requirements are determined and addressed according to organisation procedures and within authorities

2. Obtain additional specialist information

2.1. Appropriate sources of further information are identified to enable the efficient collection of further data

2.2. Confidentiality of the parties involved from which further information is obtained is protected

2.3. All further information to satisfy outstanding validation criteria is obtained within specified timeframes

3. Assign validity to proposal

3.1. Proposal is reviewed to ensure it meets validation criteria and is within authorities' responsibility

3.2. Proposals for clients with adverse experience or which fall outside validation criteria are referred to underwriter as appropriate and according to organisation procedures

3.3. Proposal is actioned according to underwriter instructions and organisation procedures

3.4. Decisions are promptly communicated to all relevant parties

4. Update appropriate register

4.1. Proposals and supporting documentation are collected and collated according to organisation procedures

4.2. Proposal information is accurately cross checked to verify input data

4.3. Proposal information is clearly and accurately recorded on register following organisation procedures and within legislative requirements

4.4. Policy information is sent to relevant parties within timeframes to comply with legislation and organisation communication procedures

5. Prepare policy documentation

5.1. All relevant information is collated to prepare policy documents without errors or omissions

5.2. Policy documents are assembled to ensure the terms and conditions reflect the accepted proposal

5.3. Documentation  that meets all legislative and organisation standards and procedures is authorised

5.4. Completed policy records are filed  in accordance with organisation procedures

6. Issue and dispatch policy documentation

6.1. Data on insurance proposals is accurately captured without omissions and within organisation timelines

6.2. Policy documentation is completed and reviewed to ensure it complies with legislative requirements 

6.3. Dispatch method is  selected in line with organisation procedures and documentation is dispatched promptly and in a manner that will protect the confidentiality of affected parties

6.4. Intermediaries are notified on date of dispatch to ensure quality customer relations are maintained

6.5. Policy documentation is accurately filed  in accordance with organisation procedures

6.6. Cancellations of policies occurring within cooling-off period are processed in accordance with client instructions

Required Skills and Knowledge

REQUIRED SKILLS AND KNOWLEDGE 

This section describes the skills and knowledge required for this unit.

Required skills 

  • communication skills to:
  • determine and confirm information, using questioning and active listening as required
  • liaise with others, share information, listen and understand
  • write clear letters
  • use language and concepts appropriate to cultural differences
  • numeracy and IT skills to:
  • perform calculations related to achieving required outcomes
  • use computer applications (word processing, spreadsheet, database, specific purpose computer systems) to assist in achieving required outcomes
  • access and update records electronically
  • access web-based information services
  • literacy skills to read and interpret documentation from a variety of sources and record and consolidate relevant related information
  • organisational skills, including the ability to plan and sequence work

Required knowledge 

  • organisation policy and procedures
  • product information relevant to the organisation
  • relevant legislative requirements, in particular those within the Financial Services Reform Act (FSRA)
  • role and function of complaints handling bodies, including the Financial Industry Complaints System (FICS)
  • role and function of regulatory bodies, including the Australian Securities and Investments Commission (ASIC) and the Australian Prudential Regulation Authority (APRA)

Evidence Guide

EVIDENCE GUIDE 

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.

Overview of assessment 

Critical aspects for assessment and evidence required to demonstrate competency in this unit 

Evidence of the ability to:

  • interpret and follow instructions
  • accurately record information into systems
  • accurately complete policy documentation.

Context of and specific resources for assessment 

Assessment must ensure:

  • competency is demonstrated in the context of the work environment and conditions specified in the range statement either in a relevant workplace or a closely simulated work environment
  • access to and the use of a range of common office equipment, technology, software and consumables
  • access to organisation records
  • access to organisational policies and procedures.

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:

  • evaluating an integrated activity, which combines the elements of competency for the unit, or a cluster of related units of competency
  • observing processes and procedures in workplaces
  • verbal or written questioning on underpinning knowledge and skills
  • evaluating samples of work
  • accessing and validating third party reports.

Guidance information for assessment 

Range Statement

RANGE STATEMENT 

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.

Validation criteria  may include:

  • life insured
  • moral hazard
  • occupation
  • selection against office.

Documents  may be sent to:

  • accountants
  • actuaries
  • agencies
  • financial institutions
  • general management
  • insurance commission
  • product department.

Legislative requirements  may include:

  • Corporations law
  • Financial Service Reform Act (FSRA)
  • Privacy Act
  • Stamp Duties Act
  • trust law.

Dispatch methods  may include:

  • by courier
  • electronic transfer
  • facsimile
  • personal collection
  • postal system
  • through an intermediary.

Filing  systems may include:

  • archival systems
  • CD
  • imaging systems
  • magnetic tape
  • manual systems
  • microfilm
  • policy jacket systems.

Unit Sector(s)

Unit sector 

Insurance Life

Competency field

Competency field 

Co-requisite units

Co-requisite units