FNSIBK601A - Develop guidelines for broking services

FNSIBK601A
Develop guidelines for broking services

This unit describes the performance outcomes, skills and knowledge required to develop and implement policies and procedures and business practices in a broking organisation. It may be applied in combination with other broking management units to meet ASIC educational standards for responsible managers.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

This unit applies to insurance broking roles and may be applied within organisations of various sizes and across a range of customer bases.

Prerequisites


	FNSIBK503A	Provide personal advice in general insurance broking products and services (Tier 1)

Elements and Performance Criteria

ELEMENT	PERFORMANCE CRITERIA
1. Identify opportunities and constraints for the provision of broking services	1.1. Business operations are reviewed to ensure compliance with relevant legislation 1.2. Availability of suitable products/suppliers is identified market wide 1.3. Resource limitations are identified
2. Establish client risk assessment methodology	2.1. Risk exposure review documentation is developed to enable effective analysis of client risks 2.2. Notices/instructions are developed to ensure full disclosures are made in compliance with relevant legislation and underwriting requirements 2.3. Resource and expertise requirements are identified to ensure required additional or specialist support is obtained
3. Establish client contact criteria	3.1. Measures to determine levels of client contact are determined 3.2. Responses to deal with contingent demand requirements are determined
4. Determine procedures for documentation	4.1. Documented distribution procedures are established in compliance with relevant legislation and underwriter requirements 4.2. Appropriate types and levels of documentation for client service are determined

Required Skills

Required skills

well-developed communication skills to:

determine and confirm information, using questioning and active listening techniques

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

research and analysis skills for accessing and interpreting relevant information

organisational skills, including the ability to plan and sequence work

high level management and interpersonal skills

sales and marketing skills

Required knowledge

exposures

industry compliance requirements

industry market position relative to product/line of business

insurance markets

IT and communications systems

legislative and regulatory body requirements

marketing principles and practice

organisation or industry policy wording

relevant common law, legal systems and procedures

Evidence Required


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: apply extensive industry knowledge of products, practices, global markets and exposuresto determine business directions and suitable options develop and coordinate a plan.
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

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.
Relevant legislation includes:	Agents and Brokers Act Carriers Act Compulsory Third Party Motor Vehicles Act Credit Act Insurance Act, as amended Insurance Contracts Act Local Government Act Marine Insurance Act Trade Practices Act workers compensation Acts.
Resource limitations may be:	equipment and facilities financial geographical technical expertise.
Risk exposure review documents may include	declarations disclosure information questionnaires risk checklists.
Types of client risks may be all exposures applicable to relevant clients such as:	casualty consequential loss employee benefits intangible liability property tangible.
Disclosure requirements may relate to:	any other material facts business activity convictions insurance history.
Specialists may include:	accountants consultants engineers insurance organisation representatives legal professionals risk managers surveyors valuers.
Measures used to determine client contact levels include:	financial returns location market niche size.
Contact methods can include:	correspondence direct mail facsimile newsletters personal contact telephone.
Contingent demands may occur when:	business development occurs claims are made risk changes.
Documentation can include:	billing claim statistics closings to underwriters declarations endorsements new business reports policies proposals remittance to underwriters renewal certificates renewal reports risk reviews service manuals.

Sectors

Unit sector

Insurance broking

Co-Requisites

	FNSIBK602A	Implement broking service support systems

Employability Skills

This unit contains employability skills.

Licensing Information

Not applicable.