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Evidence Guide: FNSILF503 - Underwrite complex non-medical risks

Student: __________________________________________________

Signature: _________________________________________________

Tips for gathering evidence to demonstrate your skills

The important thing to remember when gathering evidence is that the more evidence the better - that is, the more evidence you gather to demonstrate your skills, the more confident an assessor can be that you have learned the skills not just at one point in time, but are continuing to apply and develop those skills (as opposed to just learning for the test!). Furthermore, one piece of evidence that you collect will not usualy demonstrate all the required criteria for a unit of competency, whereas multiple overlapping pieces of evidence will usually do the trick!

From the Wiki University

 

FNSILF503 - Underwrite complex non-medical risks

What evidence can you provide to prove your understanding of each of the following citeria?

Identify non-medical risks

  1. Review applications and associated documentation to identify relevant financial and lifestyle information
  2. Interpret financial and lifestyle information to identify non-medical risk factors
  3. Review need for additional financial and lifestyle information and collect as appropriate
Review applications and associated documentation to identify relevant financial and lifestyle information

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Interpret financial and lifestyle information to identify non-medical risk factors

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Review need for additional financial and lifestyle information and collect as appropriate

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Identify underwriting significance

  1. Identify potential life risk implications of supplied lifestyle information
  2. Identify and address potential moral risk factors
  3. Consult with relevant personnel within organisation where clarification is sought on adequacy of information provided
  4. Select and apply appropriate risks rating systems according to organisational procedures
Identify potential life risk implications of supplied lifestyle information

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Identify and address potential moral risk factors

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Consult with relevant personnel within organisation where clarification is sought on adequacy of information provided

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Select and apply appropriate risks rating systems according to organisational procedures

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

. Determine risk acceptance criteria

  1. Determine risk acceptance criteria to suit type and context of risk in accordance with procedures
  2. Assess adequacy of financial and lifestyle information against risk acceptance criteria in accordance with procedures
Determine risk acceptance criteria to suit type and context of risk in accordance with procedures

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Assess adequacy of financial and lifestyle information against risk acceptance criteria in accordance with procedures

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Prepare life insurance policy

  1. Develop terms of acceptance in accordance with market conditions and accepted levels of exposure
  2. Document life insurance policy with terms and conditions in accordance with procedures and regulatory requirements
Develop terms of acceptance in accordance with market conditions and accepted levels of exposure

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Document life insurance policy with terms and conditions in accordance with procedures and regulatory requirements

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Assessed

Teacher: ___________________________________ Date: _________

Signature: ________________________________________________

Comments:

 

 

 

 

 

 

 

 

Instructions to Assessors

Evidence Guide

ELEMENT

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Identify non-medical risks

1.1 Review applications and associated documentation to identify relevant financial and lifestyle information

1.2 Interpret financial and lifestyle information to identify non-medical risk factors

1.3 Review need for additional financial and lifestyle information and collect as appropriate

2. Identify underwriting significance

2.1 Identify potential life risk implications of supplied lifestyle information

2.2 Identify and address potential moral risk factors

2.3 Consult with relevant personnel within organisation where clarification is sought on adequacy of information provided

2.4 Select and apply appropriate risks rating systems according to organisational procedures

. Determine risk acceptance criteria

3.1 Determine risk acceptance criteria to suit type and context of risk in accordance with procedures

3.2 Assess adequacy of financial and lifestyle information against risk acceptance criteria in accordance with procedures

4. Prepare life insurance policy

4.1 Develop terms of acceptance in accordance with market conditions and accepted levels of exposure

4.2 Document life insurance policy with terms and conditions in accordance with procedures and regulatory requirements

Required Skills and Knowledge

ELEMENT

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Identify non-medical risks

1.1 Review applications and associated documentation to identify relevant financial and lifestyle information

1.2 Interpret financial and lifestyle information to identify non-medical risk factors

1.3 Review need for additional financial and lifestyle information and collect as appropriate

2. Identify underwriting significance

2.1 Identify potential life risk implications of supplied lifestyle information

2.2 Identify and address potential moral risk factors

2.3 Consult with relevant personnel within organisation where clarification is sought on adequacy of information provided

2.4 Select and apply appropriate risks rating systems according to organisational procedures

. Determine risk acceptance criteria

3.1 Determine risk acceptance criteria to suit type and context of risk in accordance with procedures

3.2 Assess adequacy of financial and lifestyle information against risk acceptance criteria in accordance with procedures

4. Prepare life insurance policy

4.1 Develop terms of acceptance in accordance with market conditions and accepted levels of exposure

4.2 Document life insurance policy with terms and conditions in accordance with procedures and regulatory requirements

Evidence of the ability to:

prepare and document life insurance policy that involves complex non-medical covering:

identification of financial and lifestyle risk factors, and application of appropriate risks rating criteria and systems for underwriting the risk

terms and conditions relevant to underwriting complex non-medical risks.

Note: If a specific volume or frequency is not stated, then evidence must be provided at least once.

To complete the unit requirements safely and effectively, the individual must:

identify relevant actuarial and underwriting information associated with non-medical risk

explain key features of policy guidelines, administrative requirements and organisational procedures in the underwriting industry

explain life insurance policy terms and conditions

explain life insurance risk management practices

describe the various types of non-medical risks and their implications for life insurance underwriting

identify relevant regulatory requirements

outline sources of relevant financial and lifestyle information

describe types of financial and lifestyle risk and actuarial considerations

distinguish between medical and non-medical risks in the context of life insurance underwriting

outline moral risk factors and their implications to underwriting non-medical risks.