Assessor Resource

FNSILF408
Process life insurance contract maturity and surrender payment requests

Assessment tool

Version 1.0
Issue Date: May 2024


This unit describes the skills and knowledge required to process and settle payment requests relating to non-risk based life insurance policies.

It applies to individuals working within the life insurance sector and whose responsibility involves assisting clients with their settlement requests.

No licensing, legislative or certification requirements apply to this unit at the time of publication.

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


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.

ELEMENT

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

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

1. Receive and validate notification

1.1 Receive request for surrender or notification of maturity of relevant life insurance contract

1.2 Check that documentation is correct and complete

1.3 Check request is valid

1.4 Determine organisational authority level required to process request and refer it to appropriately authorised individual or department as necessary

2. Provide advice to claimant

2.1 Advise claimant of consequences of proceeding with settlement

2.2 Inform client of alternatives to surrender where appropriate

2.3 Obtain discharge as appropriate

3. Calculate payment

3.1 Verify entitlements on basis of supplied evidence, and terms and conditions of life insurance policy

3.2 Calculate and check entitlements in accordance with procedures and regulatory requirements

4. Finalise settlement

4.1 Confirm method of payment with client

4.2 Enter and confirm payment information on appropriate systems to make payment

4.3 Communicate settlement details to relevant stakeholders, as required, in accordance with procedures and regulatory requirements

4.4 Update records and file documentation in accordance with procedures and regulatory requirements

Evidence of the ability to:

perform contract maturity and surrender payment requests in accordance with relevant procedures and regulatory requirements including:

checking and validating notifications

calculating benefits

communicating settlement advice and details

updating documentation.

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:

outline administrative requirements for non-risk based life insurance policies

list the life insurance policy payment criteria

describe life insurance policy terms and conditions

outline organisational procedures applicable to processing payment requests

list the organisational systems for data entry and filing

compare and contrast risk based life insurance policies and non-risk based life insurance policies

identify the relevant regulatory requirements

outline alternatives to surrender of claims.

Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the life insurance field of work and include access to:

office equipment, technology, software and consumables

organisational records, policy and procedures.

Assessors must satisfy NVR/AQTF assessor requirements.

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.

ELEMENT

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

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

1. Receive and validate notification

1.1 Receive request for surrender or notification of maturity of relevant life insurance contract

1.2 Check that documentation is correct and complete

1.3 Check request is valid

1.4 Determine organisational authority level required to process request and refer it to appropriately authorised individual or department as necessary

2. Provide advice to claimant

2.1 Advise claimant of consequences of proceeding with settlement

2.2 Inform client of alternatives to surrender where appropriate

2.3 Obtain discharge as appropriate

3. Calculate payment

3.1 Verify entitlements on basis of supplied evidence, and terms and conditions of life insurance policy

3.2 Calculate and check entitlements in accordance with procedures and regulatory requirements

4. Finalise settlement

4.1 Confirm method of payment with client

4.2 Enter and confirm payment information on appropriate systems to make payment

4.3 Communicate settlement details to relevant stakeholders, as required, in accordance with procedures and regulatory requirements

4.4 Update records and file documentation in accordance with procedures and regulatory requirements

Evidence of the ability to:

perform contract maturity and surrender payment requests in accordance with relevant procedures and regulatory requirements including:

checking and validating notifications

calculating benefits

communicating settlement advice and details

updating documentation.

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:

outline administrative requirements for non-risk based life insurance policies

list the life insurance policy payment criteria

describe life insurance policy terms and conditions

outline organisational procedures applicable to processing payment requests

list the organisational systems for data entry and filing

compare and contrast risk based life insurance policies and non-risk based life insurance policies

identify the relevant regulatory requirements

outline alternatives to surrender of claims.

Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the life insurance field of work and include access to:

office equipment, technology, software and consumables

organisational records, policy and procedures.

Assessors must satisfy NVR/AQTF assessor requirements.
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
Receive request for surrender or notification of maturity of relevant life insurance contract 
Check that documentation is correct and complete 
Check request is valid 
Determine organisational authority level required to process request and refer it to appropriately authorised individual or department as necessary 
Advise claimant of consequences of proceeding with settlement 
Inform client of alternatives to surrender where appropriate 
Obtain discharge as appropriate 
Verify entitlements on basis of supplied evidence, and terms and conditions of life insurance policy 
Calculate and check entitlements in accordance with procedures and regulatory requirements 
Confirm method of payment with client 
Enter and confirm payment information on appropriate systems to make payment 
Communicate settlement details to relevant stakeholders, as required, in accordance with procedures and regulatory requirements 
Update records and file documentation in accordance with procedures and regulatory requirements 

Forms

Assessment Cover Sheet

FNSILF408 - Process life insurance contract maturity and surrender payment requests
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

FNSILF408 - Process life insurance contract maturity and surrender payment requests

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: