SAQA

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SOUTH AFRICAN QUALIFICATIONS AUTHORITY

REGISTERED UNIT STANDARD THAT HAS PASSED THE END DATE:

Demonstrate knowledge and insight into the Short Term Insurance Act (No 53 of 1998) and the accompanying regulations

SAQA US ID	UNIT STANDARD TITLE
10194	Demonstrate knowledge and insight into the Short Term Insurance Act (No 53 of 1998) and the accompanying regulations
ORIGINATOR
SGB Financial Services
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	2
REGISTRATION STATUS		REGISTRATION START DATE	REGISTRATION END DATE	SAQA DECISION NUMBER
Passed the End Date - Status was "Registered"		2002-06-12	2004-12-02	SAQA 0742/02
LAST DATE FOR ENROLMENT		LAST DATE FOR ACHIEVEMENT
2005-12-02		2008-12-02

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 is replaced by:

US ID	Unit Standard Title	Pre-2009 NQF Level	NQF Level	Credits	Replacement Status
117121	Apply knowledge and insight into the Short Term Insurance Act (No 53 of 1998) and the accompanying regulations	Level 4	NQF Level 04	3

PURPOSE OF THE UNIT STANDARD

This unit standard is intended to empower intermediaries, learners who work in short term insurance and learners who work in call centres with sufficient general knowledge of the Short Term Insurance Act to allow them to show insight into why and how short term insurance is regulated by the Act.

The qualifying leaner is capable of:

* Explaining the purpose of the Short Term Insurance Act and concepts related to the Act.
* Explaining the basic requirements of the Short Term Insurance Act that apply to insurers.
* Indicating how the Short Term Insurance Act controls ntermediaies.
* Describing how the Short Term nsurance Act regulates short term insurance policies

LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING

There is open access to this unit standard. Learners should be competent in Communication, Mathematical Literacy and Financial Literacy at Level 3

UNIT STANDARD RANGE

The typical scope of this unit standard is the Short term Insurance Act (no 53 of 1998) and the accompanying regulations.

Specific Outcomes and Assessment Criteria:

SPECIFIC OUTCOME 1

Explain the purpose of the Short Term Insurance Act (53 of 1998.)

ASSESSMENT CRITERIA

ASSESSMENT CRITERION 1

1. The reason for the Short Term Insurance Act is explained in terms of the need for legislation in insurance.

ASSESSMENT CRITERION 2

2. The parties governed by the Short Term Insurance Act are named and an indication is given of the role of the Registrar in administering the Short Term Insurance Act.

ASSESSMENT CRITERION 3

3. The consequences of non-compliance with the Short Term Insurance Act for a short term insurance organisation are named, and an indication is given of the recourse that a client has to the Registrar in cases of non-compliance.

ASSESSMENT CRITERION 4

4. The concept of short term insurance is explained with reference to the different classes of business defined in the Short Term Insurance Act.

ASSESSMENT CRITERION 5

5. Terminology defined in Section 1 of the Short Term Insurance Act is explained in own words.

SPECIFIC OUTCOME 2

Explain the basic requirements of the Short Term Insurance Act as they apply to insurers.

ASSESSMENT CRITERIA

ASSESSMENT CRITERION 1

1. The requirements for registration as an insurer are listed as prescribed in the Short Term Insurance Act.

ASSESSMENT CRITERION 2

2. Returns that an insurer is required to submit to the Registrar are identified and an indication is given of the consequences of non-compliance.

ASSESSMENT CRITERION 3

3. The concept of a solvency margin is explained in terms of approved assets over liabilities.

ASSESSMENT CRITERION 4

4. The requirements imposed on Lloyd's are compared to those that apply to any other insurance organisation in terms of registration and operations.

SPECIFIC OUTCOME 3

Explain how the Short Term Insurance Act controls intermediaries.

ASSESSMENT CRITERIA

ASSESSMENT CRITERION 1

1. The way in which commission and certain fees are regulated is explained with reference to the Short Term Insurance Act.

ASSESSMENT CRITERION 2

2. Limitations on business practices in terms of placing business with insurers are described with reference to case studies and the Short Term Insurance Act.

ASSESSMENT CRITERION 3

3. The concept of a Lloyd's binder is explained and the criteria used by Lloyd's to enter into an underwriting relationship with an intermediary is described with reference to specialist classes of business.

ASSESSMENT CRITERION 4

4. The way in which Lloyd's binders are regulated is explained with reference to case studies and the Short Term Insurance Act.

ASSESSMENT CRITERION 5

5. The rights and responsibilities of an intermediary in accounting to the insurer are explained with reference to the collection and payment of premiums.

SPECIFIC OUTCOME 4

Explain how the Short Term Insurance Act regulates short term insurance policies.

OUTCOME NOTES

Explain how the Short Term Insurance Act regulates short term insurance policies and protects individual policyholders.

ASSESSMENT CRITERIA

ASSESSMENT CRITERION 1

1. The standard duration of a policy is explained with reference to the Short Term Insurance Act.

ASSESSMENT CRITERION 2

2. Rules governing policies issued to minors are explained with reference to the Short Term Insurance Act.

ASSESSMENT CRITERION 3

3. Reasons why a personal lines policy must be issued within a prescribed period are explained with reference to the rights and responsibilities of both parties to the contract.

ASSESSMENT CRITERION 4

4. The way in which the Short Term Insurance Act protects individual policyholders is explained with reference to Section 55 of the Act and the Policyholder Protection rules.

UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS

This unit standard will be internally assessed by the provider and moderated by a moderator registered by INSQA or a relevant accredited ETQA. The mechanisms and requirements for moderation are contained in the document obtainable from INSQA,
INSQA framework for assessment and moderation.

Critical Cross-field Outcomes (CCFO):

UNIT STANDARD CCFO COLLECTING

The learner is able to collect, organise and apply information relating to the Short Term Insurance Act.

UNIT STANDARD CCFO COMMUNICATING

The learner is able to communicate effectively in explaining the concepts and terminology used in the Short Term Insurance Act.

UNIT STANDARD CCFO DEMONSTRATING

The learner is able to demonstrate an understanding of the world as a set of related systems by recognising the consequences of non-compliance.

UNIT STANDARD NOTES

This unit standard has been replaced by 117121, which is 'Apply knowledge and insight into the Short Term Insurance Act (No 53 of 1998) and the accompanying regulations', Level 4, 3 Credits.

QUALIFICATIONS UTILISING THIS UNIT STANDARD:

	ID	QUALIFICATION TITLE	PRE-2009 NQF LEVEL	NQF LEVEL	STATUS	END DATE	PRIMARY OR DELEGATED QA FUNCTIONARY
Core	21796	National Certificate: Short Term Insurance	Level 4	NQF Level 04	Passed the End Date - Status was "Registered"	2005-06-12	Was INSETA until Last Date for Achievement
Elective	48494	National Certificate: Financial Services Management	Level 3	NQF Level 03	Passed the End Date - Status was "Reregistered"	2012-06-30	INSETA
Elective	48640	National Certificate: Financial Services Management	Level 4	Level TBA: Pre-2009 was L4	Passed the End Date - Status was "Reregistered"	2023-06-30	INSETA
Elective	48493	National Certificate: Financial Services: Wealth Management	Level 4	NQF Level 04	Passed the End Date - Status was "Registered"	2007-02-11	Was INSETA until Last Date for Achievement
Elective	24396	National Certificate: Risk Management	Level 4	NQF Level 04	Passed the End Date - Status was "Registered"	2006-10-08	Was INSETA until Last Date for Achievement

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.

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