Assessor Resource

FNSIBK603A
Manage contractual obligations for insurance and insurance broking products

Assessment tool

Version 1.0
Issue Date: May 2024


This unit applies to the management of the specific requirements that arise from offering insurance contracts. It also has application in a general or life insurance organisation. The unit may be applied within organisations of various sizes and across a range of customer bases.

This unit describes the performance outcomes, skills and knowledge required to manage contractual requirements including legislative and code of practice obligations in relation to life or general insurance products offered by an insurance brokerage.

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).

You may want to include more information here about the target group and the purpose of the assessments (eg formative, summative, recognition)

Employability Skills

This unit contains employability skills.



Evidence Required

List the assessment methods to be used and the context and resources required for assessment. Copy and paste the relevant sections from the evidence guide below and then re-write these in plain English.

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 manage compliance requirements relating to contracts of insurance.

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

setting and reviewing workplace projects and business simulations or scenarios.

Guidance information for assessment

Submission Requirements

List each assessment task's title, type (eg project, observation/demonstration, essay, assingnment, checklist) and due date here

Assessment task 1: [title]      Due date:

(add new lines for each of the assessment tasks)

Assessment Tasks

Copy and paste from the following data to produce each assessment task. Write these in plain English and spell out how, when and where the task is to be carried out, under what conditions, and what resources are needed. Include guidelines about how well the candidate has to perform a task for it to be judged satisfactory.

Required skills

highly-developed communication skills to:

determine and confirm information, using questioning and active listening techniques

write clear procedures

liaise with others, share information, listen and understand

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

well-developed literacy skills to read and interpret documentation from a variety of sources and record and consolidate relevant related information and for policy interpretation and application

research and analysis skills for accessing and interpreting relevant information

interpersonal skills

organisational skills, including the ability to plan and sequence work

Required knowledge

industry sector compliance requirements

organisation policy, procedures, underwriting guidelines and authorities

reinsurance

relevant common law, legal systems and procedures, codes of practice

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.

Contracts, policies and retirement plans may relate to:

client

organisation

insured

member

policyholder

trustee.

System needs may include:

budgets

cost-effective processes

electronic systems

manual systems

quality.

Action plan may include:

accounting

authorised representatives

branches

customer service

customers

other financial institutions.

Legislation may include:

Consumer Affairs Act

contract law

Financial Services Reform Act

Insurance Contracts Act

Life Insurance Act

Privacy Act

regulatory bodies including ASIC, Australian Taxation Office (ATO)

Trade Practices Act

trust law

workers compensation Acts.

Reviewed will include pro-active and reactive steps taken to:

deal with customer complaints

comply with legislation

assess market trends.

Billings can include:

direct debit

group payments

notices.

Conservation procedures include:

agent/office intervention

non-forfeiture provisions

reinstatement procedures.

Copy and paste from the following performance criteria to create an observation checklist for each task. When you have finished writing your assessment tool every one of these must have been addressed, preferably several times in a variety of contexts. To ensure this occurs download the assessment matrix for the unit; enter each assessment task as a column header and place check marks against each performance criteria that task addresses.

Observation Checklist

Tasks to be observed according to workplace/college/TAFE policy and procedures, relevant legislation and Codes of Practice Yes No Comments/feedback
Terms and conditions of all contracts, policies and retirement plans are examined and all legislative, contract and code of practice requirements are identified. 
Identified rights, obligations and legislative requirements are documented so that appropriate procedures can be developed. 
Identify and document appropriate system needs in order to meet rights and obligations and legislative and code of practice requirements within organisation objectives. 
Contingency plans are developed and documented to ensure that contractual rights, obligations and legislative requirements are met in the event of unusual situations arising. 
Action plan is published so that all relevant areas are briefed concerning procedures to be implemented. 
Procedure is implemented according to action plan. 
Rights, obligations and legislation requirements are reviewed against terms and conditions of each contract of insurance regularly to ensure reliability and validity of interpretation. 
Procedures and processes are altered in response to changes in interpretation. 
Premium records are accurately maintained in line with organisation procedures. 
Premium billings are generated in accordance with organisation procedures and contractual obligations. 
All monies received are accurately processed to policy records in accordance with organisation procedures. 
Conservation procedures are undertaken within required timelines and organisation procedures. 

Forms

Assessment Cover Sheet

FNSIBK603A - Manage contractual obligations for insurance and insurance broking products
Assessment task 1: [title]

Student name:

Student ID:

I declare that the assessment tasks submitted for this unit are my own work.

Student signature:

Result: Competent Not yet competent

Feedback to student

 

 

 

 

 

 

 

 

Assessor name:

Signature:

Date:

Assessment Record Sheet

FNSIBK603A - Manage contractual obligations for insurance and insurance broking products

Student name:

Student ID:

Assessment task 1: [title] Result: Competent Not yet competent

(add lines for each task)

Feedback to student:

 

 

 

 

 

 

 

 

Overall assessment result: Competent Not yet competent

Assessor name:

Signature:

Date:

Student signature:

Date: