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SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED UNIT STANDARD THAT HAS PASSED THE END DATE: 

Describe short term insurance 
SAQA US ID UNIT STANDARD TITLE
114964  Describe short term insurance 
ORIGINATOR
SGB Insurance and Investment 
PRIMARY OR DELEGATED QUALITY ASSURANCE FUNCTIONARY
-  
FIELD SUBFIELD
Field 03 - Business, Commerce and Management Studies Finance, Economics and Accounting 
ABET BAND UNIT STANDARD TYPE PRE-2009 NQF LEVEL NQF LEVEL CREDITS
Undefined  Regular  Level 3  NQF Level 03  3 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
Passed the End Date -
Status was "Reregistered" 		 2018-07-01  2023-06-30  SAQA 06120/18 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2024-06-30   2027-06-30  

In all of the tables in this document, both the pre-2009 NQF Level and the NQF Level is shown. In the text (purpose statements, qualification rules, etc), any references to NQF Levels are to the pre-2009 levels unless specifically stated otherwise.  

This unit standard replaces: 
US ID Unit Standard Title Pre-2009 NQF Level NQF Level Credits Replacement Status
8989  Describe short term insurance  Level 3  NQF Level 03  2   

PURPOSE OF THE UNIT STANDARD 
This Unit Standard introduces the basic concepts of short term insurance and provides a broad introduction to short term insurance.

The qualifying learner is capable of:
  • Explaining the concept of short term insurance.
  • Identifying the different products that a short term insurer markets.
  • Classifying the different types of short term insurance.
  • Identifying events that impact on short term insurance.
  • Applying knowledge of customer profile and risk to short term insurance. 
    		•

    LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
    Learners should be competent in Communication and Mathematical Literacy at Level 2. 

    UNIT STANDARD RANGE 
    The typical scope of this Unit Standard is
  • Target market: personal lines, corporate and commercial.
  • Insurance classes include, but are not limited to, fire, motor, all risks, building, household contents, personal liability, public liability, personal accident, theft.
  • Specialist categories include, but are not limited to, transportation, aviation, engineering, Interruption and professional Indemnity.
  • Appropriate terminology includes, but is not limited to, proximate cause, good faith, insurable interest and indemnity.
  • Customer profiles include individual, organisation and corporate. 
    		•

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Explain the concept of short term insurance. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The concept of insuring for a fortuitous event is explained with examples. 

    ASSESSMENT CRITERION 2 
    The concept of different insurance needs at different times in a person's life is illustrated on a time line and the possibility of needing insurance is compared for three different events. 

    ASSESSMENT CRITERION 3 
    The basic principles of short term insurance are explained using appropriate terminology. 

    ASSESSMENT CRITERION 4 
    The implication of non-disclosure for the individual and the organisation are explained for short term insurance. 

    SPECIFIC OUTCOME 2 
    Identify the different products that a short-term insurer markets. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    Five different short term insurance products are named with examples of each. 

    ASSESSMENT CRITERION 2 
    The excess on different products is compared based on the risk and characteristics of the product. 

    ASSESSMENT CRITERION 3 
    The benefits of products are compared with reference to policies. 

    ASSESSMENT CRITERION 4 
    The concept of direct insurance is compared to that of traditional short term insurance and a decision is made as to which type of insurance best suits own circumstances. 

    SPECIFIC OUTCOME 3 
    Classify the different types of short term insurance. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The classes of short term insurance are named with examples and an indication is given of the target market of each. 

    ASSESSMENT CRITERION 2 
    The type of risk in two short term policies is compared and reasons are given for the difference in risk. 

    ASSESSMENT CRITERION 3 
    Two examples of specialist categories of short term insurance are listed with examples. 

    SPECIFIC OUTCOME 4 
    Identify events that impact on short term insurance. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The impact of location, circumstances and claims history on policy premiums is explained with reference to actual examples. 

    ASSESSMENT CRITERION 2 
    The impact of severity of claims on the insurer and the insured is explained in terms of nature of risk. 

    ASSESSMENT CRITERION 3 
    A peril is explained with reference to difference classes of insurance. 

    SPECIFIC OUTCOME 5 
    Apply knowledge of customer profiles and risk to short term insurance. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    Different consumer profiles are established and compared using a case study. 

    ASSESSMENT CRITERION 2 
    The risk categories most likely to apply to the customers in the case study are identified and linked to the customer profile. 

    ASSESSMENT CRITERION 3 
    The advantages and disadvantages of taking out short term insurance are compared with examples from case studies involving self insurance and insurance. 

    ASSESSMENT CRITERION 4 
    A table is compiled that indicates the most typical customer profiles and the types of insurance cover best suited to their needs. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
    This Unit Standard will be internally assessed by the provider and moderated by a moderator registered by a relevant accredited ETQA or an ETQA that has a Memorandum of Understanding with the relevant accredited ETQA. 

    UNIT STANDARD ESSENTIAL EMBEDDED KNOWLEDGE 
    N/A 

    UNIT STANDARD DEVELOPMENTAL OUTCOME 
    N/A 

    UNIT STANDARD LINKAGES 
    N/A 


    Critical Cross-field Outcomes (CCFO): 

    UNIT STANDARD CCFO IDENTIFYING 
    Learners can identify and solve problems by comparing the need for insurance, by explaining the implications of non-disclosure and by matching the customer's profile to short term insurance classes of business. 

    UNIT STANDARD CCFO COLLECTING 
    Learners can collect, organise and evaluate information when comparing the risk element of 2 short term policies and by giving reasons for the differences in risk. 

    UNIT STANDARD CCFO COMMUNICATING 
    Learners can communicate effectively when using case studies of customer profiles and when graphically presenting their findings. 

    UNIT STANDARD CCFO CONTRIBUTING 
    A learner is able to participate as a responsible citizen in his/her work community when explaining the implications of non-disclosure for the individual and the organisation. 

    UNIT STANDARD ASSESSOR CRITERIA 
    N/A 

    REREGISTRATION HISTORY 
    As per the SAQA Board decision/s at that time, this unit standard was Reregistered in 2012; 2015. 

    UNIT STANDARD NOTES 
    This unit standard replaces unit standard 8989, "Describe short term insurance", Level 3, 2 credits. 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Core  66609   Further Education and Training Certificate: Retail Insurance  Level 4  NQF Level 04  Passed the End Date -
    Status was "Reregistered"     		 2023-06-30  As per Learning Programmes recorded against this Qual 
    Elective  48783   National Certificate: Financial Services  Level 2  NQF Level 02  Passed the End Date -
    Status was "Reregistered"     		 2023-06-30  INSETA 
    Elective  48494   National Certificate: Financial Services Management  Level 3  NQF Level 03  Passed the End Date -
    Status was "Reregistered"     		 2012-06-30  INSETA 


    PROVIDERS CURRENTLY ACCREDITED TO OFFER THIS UNIT STANDARD: 
    This information shows the current accreditations (i.e. those not past their accreditation end dates), and is the most complete record available to SAQA as of today. Some Primary or Delegated Quality Assurance Functionaries have a lag in their recording systems for provider accreditation, in turn leading to a lag in notifying SAQA of all the providers that they have accredited to offer qualifications and unit standards, as well as any extensions to accreditation end dates. The relevant Primary or Delegated Quality Assurance Functionary should be notified if a record appears to be missing from here.
     
    1. CKP Development Agency (Pty) Ltd 
    2. Faisit (Pty) Ltd 
    3. The Graduate Institute of Financial Sciences (Pty) Ltd 


    All qualifications and part qualifications registered on the National Qualifications Framework are public property. Thus the only payment that can be made for them is for service and reproduction. It is illegal to sell this material for profit. If the material is reproduced or quoted, the South African Qualifications Authority (SAQA) should be acknowledged as the source.