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

Underwrite a standard risk in short term personal insurance 
SAQA US ID UNIT STANDARD TITLE
120118  Underwrite a standard risk in short term personal 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 4  NQF Level 04  6 
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
10366  Underwrite a standard risk in short term personal/domestic insurance  Level 4  NQF Level 04  10   

PURPOSE OF THE UNIT STANDARD 
The key purpose of underwriting risk in short term personal insurance is to analyse the risk associated with personal assets. This standard focuses on making a short term personal type insurance underwriting decision without referral. It is intended for Short Term Underwriters, but will be useful for Intermediaries, Claims Clerks, Claims Advisors, Claims Negotiators, Assessors, Loss Adjusters, Claims Investigators and learners who underwrite risk and investigate and underwrite claims.

The qualifying learner is capable of:
  • Investigating the circumstances of the proposer.
  • Analysing assets and liabilities of a personal proposal.
  • Investigating the loss and claims history of a proposer.
  • Making an underwriting decision for a short term personal standard risk. 
    		•

    LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
    It is assumed that learners are competent in Communication and Mathematical Literacy at Level 3 and that they know the products marketed by a short term insurance organisation. 

    UNIT STANDARD RANGE 
    The typical scope of this Unit Standard is:
  • Typical short term personal/domestic insurance is insurance in motor, householders, house owners, personal liability and small craft that apply to individuals and are not generally used to generate income.
  • The subject matter of insurance includes, but is not limited to, items, liability, physical address and person/people.
  • Underwriting criteria include, but are not limited to, age, occupation, moral and lifestyle factors.
  • Risk includes hazards, perils probability, frequency and severity.
  • Assets include, but are not limited to household contents, buildings, vehicles, jewelry, collectables and handheld devices.
  • A central database includes, but is not limited to Information Trust Corporate (ITC). 
    		•

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Investigate the circumstances of the proposer. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The concept of the insured is explained with reference to items to be insured. 

    ASSESSMENT CRITERION 2 
    The concept of a risk is explained with examples. 

    ASSESSMENT CRITERION 3 
    The criteria used to underwrite a personal risk are explained with reference to how each could influence the risk. 

    ASSESSMENT CRITERION 4 
    A proposal is analysed and elements that could indicate a higher than usual risk are identified and investigated further. 

    ASSESSMENT CRITERION 5 
    The basic purpose of underwriting risk is explained with particular reference to short term personal insurance. 

    ASSESSMENT CRITERION 6 
    The use of a central database in investigating the loss history of a proposer is explained and an indication is given of when such a data base is used by an insurer. 

    SPECIFIC OUTCOME 2 
    Analyse the assets and liabilities of a personal proposal. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The concept of subject matter of insurance is explained with reference to a personal proposal. 

    ASSESSMENT CRITERION 2 
    The concept of insurable interest and indemnity is explained with reference to the relationship between the proposer and the subject matter. 

    ASSESSMENT CRITERION 3 
    Six different personal assets are identified and reasons are given as to why each would be classified as a high, medium or low risk for the insured and the insurer. 

    ASSESSMENT CRITERION 4 
    Potential business risks in a personal proposal are identified and investigated to determine acceptability under a personal policy. 

    SPECIFIC OUTCOME 3 
    Investigate the loss and claims history of a proposer. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The information on the proposal form is verified from an appropriate source. 

    ASSESSMENT CRITERION 2 
    Information relating to previous insurance loss history requested and corrective measures taken to reduce risk are ascertained from the proposer. 

    ASSESSMENT CRITERION 3 
    The financial implications of the size and frequency of previous losses are ascertained and an indication is given of the previous claims trend and the preferred risk when faced with a low frequency high risk or high frequency low risk. 

    SPECIFIC OUTCOME 4 
    Make an underwriting decision for a short term personal standard risk. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    All the relevant information gathered is analysed and used to determine whether to accept or decline the proposal. 

    ASSESSMENT CRITERION 2 
    Factors that warrant a loading or reduction are identified in terms of reducing perils, applying deductions, excesses and physical protection of assets. 

    ASSESSMENT CRITERION 3 
    The premiums, terms and conditions applicable to a policy are determined and presented in a quotation. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
  • Anyone assessing a candidate against this Unit Standard must be registered as an assessor with the relevant ETQA or ETQA where a Memorandum of Understanding (MOU) exists with the relevant ETQA.
  • Any institution offering learning that will enable achievement of this Unit Standard must be accredited as a provider through the relevant ETQA or ETQA where a Memorandum of Understanding (MOU) exists with the relevant ETQA.
  • Moderation of assessment will be overseen by the relevant ETQA according to the moderation guidelines and the agreed ETQA procedures. 
    		•

    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 are able to recognise potential problems and make a decision to underwrite as a standard personal risk or to refer a case to a senior underwriter. 

    UNIT STANDARD CCFO WORKING 
    Learners are able to recognise the need to work effectively as a member of a team in order to assess a risk to the benefit of the client and acceptable risk to the company. 

    UNIT STANDARD CCFO ORGANISING 
    Learners are able to organise and manage own activities responsibly and effectively to maximise productivity and provide an efficient service to clients. 

    UNIT STANDARD CCFO COLLECTING 
    Learners are able to collect, organise and evaluate information in order to underwrite a standard short term personal risk. 

    UNIT STANDARD CCFO COMMUNICATING 
    Learners are able to communicate effectively in order to explain the rationale for underwriting decisions. 

    UNIT STANDARD CCFO SCIENCE 
    Learners are able to use a computer to assist in processing information required to assess a short term personal risk. 

    UNIT STANDARD CCFO DEMONSTRATING 
    Learners are able to recognise that decisions are not made in isolation in assessing short term personal risk. 

    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 10366, " Underwrite a standard risk in short term personal/domestic insurance", Level 4, 10 credits. 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Elective  66610   Further Education and Training Certificate: Short Term Insurance  Level 4  NQF Level 04  Passed the End Date -
    Status was "Reregistered"     		 2023-07-30  As per Learning Programmes recorded against this Qual 
    Elective  66613   Further Education and Training Certificate: Wealth Management  Level 4  NQF Level 04  Passed the End Date -
    Status was "Reregistered"     		 2023-06-30  As per Learning Programmes recorded against this Qual 


    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. African Resources & Financial Training (Pty) Ltd 
    2. BRC Solutions (Pty) Ltd 
    3. CKP Development Agency (Pty) Ltd 
    4. De Vries Management & Training Services cc 
    5. Faisit (Pty) Ltd 
    6. Ray Strodl Consulting (Pty) Ltd 
    7. Ripple Effect 4 (Pty) Ltd 
    8. 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.