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Evidence Guide: FNSILF507A - Manage group life insurance policy administration

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

 

FNSILF507A - Manage group life insurance policy administration

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

Recognise and apply relevant policy guidelines

  1. Identify relevant group policy ownership structure and associated rules of administration
  2. Verify a party’s authority to act in relation to a group life insurance policy
  3. Use inter-organisational relationships to collect information and authorisations
Identify relevant group policy ownership structure and associated rules of administration

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Verify a party’s authority to act in relation to a group life insurance policy

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Use inter-organisational relationships to collect information and authorisations

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Perform, or audit, the review of a group life insurance policy

  1. Verify that a group meets the automatic acceptance eligibility criteria
  2. Review member schedule and verify members’ eligibility for the group
  3. Review member changes that have occurred in the period under review and make necessary adjustments to premiums and/or sums insured
  4. Reconcile details of the policy to calculate premiums
  5. Calculate and remit stamp duty payable on benefits as required in each state/territory
  6. Calculate and apply group life profit share as per the terms of the policy, as necessary
Verify that a group meets the automatic acceptance eligibility criteria

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Review member schedule and verify members’ eligibility for the group

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Review member changes that have occurred in the period under review and make necessary adjustments to premiums and/or sums insured

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Reconcile details of the policy to calculate premiums

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Calculate and remit stamp duty payable on benefits as required in each state/territory

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Calculate and apply group life profit share as per the terms of the policy, as necessary

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Manage ongoing policy administration

  1. Identify requests that exceed automatic acceptance limits and refer for individual underwriting
  2. Manage medical information collection as necessary
  3. Make payments to maintain distribution and administration agreements and reinsurance treaties
  4. Collect premiums in accordance with policy terms
  5. Manage the cancellation of cover where necessary
  6. Update and issue documentation and records in accordance with procedures and regulatory requirements
  7. Work with relevant parties to maintain organisational compliance
Identify requests that exceed automatic acceptance limits and refer for individual underwriting

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Manage medical information collection as necessary

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Make payments to maintain distribution and administration agreements and reinsurance treaties

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Collect premiums in accordance with policy terms

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Manage the cancellation of cover where necessary

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Update and issue documentation and records in accordance with procedures and regulatory requirements

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Work with relevant parties to maintain organisational compliance

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Manage complaints and disputes

  1. Advise clients of dispute resolution procedures
  2. Use inter-organisational relationships to seek resolution of complaints and disputes
  3. Refer clients to an appropriate external dispute resolution body as appropriate
Advise clients of dispute resolution procedures

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Use inter-organisational relationships to seek resolution of complaints and disputes

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Refer clients to an appropriate external dispute resolution body as appropriate

Completed
Date:

Teacher:		 Evidence:

 

 

 

 

 

 

 

Assessed

Teacher: ___________________________________ Date: _________

Signature: ________________________________________________

Comments:

 

 

 

 

 

 

 

 

Instructions to Assessors

Evidence Guide

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 highly developed analytical and administrative skills to group life insurance policy management

maintain and apply a thorough understanding of all aspects of administrative requirements

perform tasks in accordance with relevant procedures and regulatory requirements.

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 organisational policies and procedures.

Method of assessment

A range of assessment methods should be used to assess practical skills and knowledge. The following examples 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

Required Skills and Knowledge

Required skills

communication skills to:

liaise and share information with others

gather and check information

communicate appropriately with people from diverse backgrounds

communicate professionally in a business environment

IT skills to:

use computer applications (word processing, spreadsheet, database, specific purpose computer systems)

access and update records electronically

access web-based information services

numeracy skills to:

interpret numeric data and relevant statistics

make payments

calculate premiums

organisational skills to efficiently plan and sequence work

problem solving skills to address errors in group life insurance documentation

reading skills to:

read and understand relevant procedures

read and understand group life insurance policies

read and interpret group life insurance claims and supporting documentation

research and analysis skills to:

identify and interpret relevant information

analyse information and data

maintain currency of products and services knowledge

writing skills to:

accurately record information

prepare professional letters and emails

appropriately reference source documents including policy definitions and submitted evidentiary documents.

Required knowledge

with reference to the administration of group life insurance policies, it is necessary to be able to apply and explain:

dispute resolution processes

life insurance administrative requirements

life insurance policy payment criteria

life insurance policy terms and conditions

organisational guidelines relating to automatic acceptance under group life insurance policies

organisational procedures

procedural fairness

product information

administrative practice in managing group life insurance schemes

relevant regulatory requirements.

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.

Group policy ownership structure may be a:

employer/company

trustee for a lender

trustee of a master trust

trustee of an industry fund

trustee of a government fund

trustee of a corporate fund.

Group life insurance policy may include:

death

Total & Permanent Disablement (TPD)

salary continuance (income protection)

trauma

consumer credit.

Inter-organisational relationships include relationships between:

life insurers

brokers

employers

financial advisers

medical professionals

members

reinsurers

solicitors

state revenue office

superannuation funds

superannuation administrators

other administration companies

trustees

regulators.

Automatic acceptance eligibility criteria may include:

that the insured group meets minimum requirements (e.g. quantity of members, level of premium)

that a significant proportion of group members take up cover under the group life policy.

Members’ eligibility may be dependent upon:

whether the member was defined as a member of the group on the date cover commenced

whether cover was taken up within an acceptable period after having been deemed an eligible member.

Member changes may include:

changes in group membership

changes to members’ salaries

changes in cover.

Details of the policy may include:

relevant cover and policy wordings

limitations of cover set by the rules of the fund or by the group life policy

underwriting agreements

member schedule.

Payments may include

commissions

administration fees

associated GST

stamp duty

reinsurance premiums.

Manage the cancellation of cover may include:

assessing departing members’ eligibility for a continuation option as per policy terms

issuing statements, forms and documentation

updating records.

Procedures may include:

organisational complaints handling processes

organisational customer service charter

organisational guidelines

organisational policy

organisational privacy and confidentiality guidelines

organisational procedures.

Regulatory requirements may include:

corporations legislation

life insurance legislation

privacy legislation

superannuation legislation

Australian Securities and Investments Commission (ASIC) regulatory guides

Financial Services Council guidance notes and standards.

Maintain organisational compliance may include:

compiling statistics

composing and/or sourcing reports

maintaining documentation.

External dispute resolution body may include:

Financial Ombudsman Service

Superannuation Complaints Tribunal

other Australian Securities and Investments Commission (ASIC) approved dispute resolution services.