Application
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.
Elements and Performance Criteria
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 Performance
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.
Evidence of Knowledge
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 Conditions
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.
Foundation Skills
This section describes language, literacy, numeracy and employment skills incorporated in the performance criteria that are required for competent performance.
Skill | Performance Criteria | Description |
Reading | 1.1-1.3, 3.1, 3.2 | Gathers, analyses and interprets simple to complex textual information from a range of sources and identifies relevant information |
Writing | 1.1, 1.4, 2.1-2.3, 4.1-4.4 | Produces texts in logical sequence using appropriate technical and industry-specific language to convey and record information accurately and effectively |
Oral Communication | 1.4, 2.1-2.3, 4.1-4.3 | Uses active listening and questioning techniques to confirm understanding of requirements and other information provided Uses clear, specific and technically correct language to convey information |
Numeracy | 3.2 | Interprets numerical information, uses mathematic equations and performs calculations |
Navigate the world of work | 1.4, 3.2, 4.3, 4.4 | Recognises and follows legislative requirements, explicit and implicit protocols, policies and procedures, and meets expectations associated with own role |
Interact with others | 1.4, 2.1-2.3 | Selects and uses appropriate communication conventions and protocols to liaise with others Adjusts personal communication style in response to the values, beliefs and cultural expectations of others |
Get the work done | 1.1-1.4, 3.1, 3.2, 4.1-4.4 | Takes responsibility for planning, sequencing and prioritising tasks and own workload for efficiency and effectiveness Systematically gathers and analyses all relevant information and evaluates options to inform decisions about settlements Uses the main features and functions of digital tools to complete work tasks |
Sectors
Life insurance