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SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED UNIT STANDARD: 

Explain the roles of actuaries, underwriters, claims assessors and reinsurers in Long-term insurance 
SAQA US ID UNIT STANDARD TITLE
119259  Explain the roles of actuaries, underwriters, claims assessors and reinsurers in Long-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 4  NQF Level 04 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
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 does not replace any other unit standard and is not replaced by any other unit standard. 

PURPOSE OF THE UNIT STANDARD 
This unit standard is useful for underwriters, claims assessors, intermediaries, learners in service centres, product development and marketing, and learners involved in Risk business. It is intended for learners who are established on a career path in Long-term insurance.

The qualifying learner is capable of:
  • Explaining the specialist functions of actuaries.
  • Explaining the specialist functions of underwriters.
  • Explaining the specialist functions of claims assessors.
  • Explaining how a Long-term product is developed.
  • Explaining the role of reinsurers in Long-term insurance. 

  • LEARNING ASSUMED TO BE IN PLACE AND RECOGNITION OF PRIOR LEARNING 
  • Communication at NQF Level 3.
  • Mathematical Literacy at NQF Level 3.
  • Computer Literacy at NQF Level 3. 

  • UNIT STANDARD RANGE 
    The role of actuaries, underwriters, claims assessors and reinsurers in Long-term insurance organisations. 

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Explain the specialist functions of actuaries. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The role of actuaries in a Long-term insurance organisation is explained with reference to the development of models and the analysis of trends in mortality, morbidity and financial investments. 

    ASSESSMENT CRITERION 2 
    Categories of statistics gathered by actuaries are identified and an indication is given of where actuaries source statistics. 

    ASSESSMENT CRITERION 3 
    The purpose of actuarial reports is explained with reference to their role in determining the reserves required to ensure the financial soundness of an organisation. 

    SPECIFIC OUTCOME 2 
    Explain the specialist functions of underwriters. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The role of underwriters in a Long-term insurance organisation is explained with reference to the application of medical underwriting to actuarial rates, legislation and the accompanying regulations. 

    ASSESSMENT CRITERION 2 
    Underwriting information gathered by underwriters is identified and an indication is given of how it is used to determine underwriting profit loss ratios. 

    ASSESSMENT CRITERION 3 
    Ways in which underwriters protect an organisation against anti-selection are explained with examples. 

    SPECIFIC OUTCOME 3 
    Explain the specialist functions of claims assessors. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The role of the claims assessor in a Long-term insurance organisation is explained in terms of assessment of the validity of claims. 

    ASSESSMENT CRITERION 2 
    Claims information gathered by assessors is identified and an indication is given of how it is used to determine underwriting profit. 

    ASSESSMENT CRITERION 3 
    The importance of technical, underwriting, and legal knowledge in assessing a claim is explained with reference to ensuring payment of valid claims. 

    SPECIFIC OUTCOME 4 
    Explain how a Long-term product is developed. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The role of the actuary in the development of a risk product is explained with reference to research, the development of a model and the business risk if actuaries make incorrect assumptions. 

    ASSESSMENT CRITERION 2 
    The role of the legal department in product development is explained with examples. 

    ASSESSMENT CRITERION 3 
    The role of underwriters in product development is explained with reference to the determination of underwriting standards to guard against anti-selection and the business risk, if underwriting standards are incorrect. 

    ASSESSMENT CRITERION 4 
    The role of claims assessors in product development is explained with reference to their role in introducing reality statistics to the actuarial model, detecting flaws or inconsistencies in the product and the business risk if assessors do not fulfill the expectations of customers in relation to the product. 

    SPECIFIC OUTCOME 5 
    Explain the role of reinsurers in Long-term insurance. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The functions of reinsurance are explained with examples. 

    ASSESSMENT CRITERION 2 
    The role of the reinsurer is explained with examples. 

    ASSESSMENT CRITERION 3 
    Treaty and Facultative Reinsurance are compared with reference to the advantages and disadvantages of each. 

    ASSESSMENT CRITERION 4 
    The additional services offered by three different reinsurers are researched and an indication is given of which reinsurer appears to offer the most beneficial services to a specific organisation for facultative claims. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
  • An individual wishing to be assessed (including through RPL) against this unit standard may apply to an assessment agency, assessor or provider institution accredited by the relevant ETQA or an ETQA that has a Memorandum of Understanding with the relevant ETQA.
  • Anyone assessing a learner against this unit standard must be registered as an assessor with the relevant ETQA or with an ETQA that has a Memorandum of Understanding with the relevant ETQA.
  • Any institution offering learning that will enable achievement of this unit standard or assessing this unit standard must be accredited as a provider with the relevant ETQA, or with an ETQA that has a Memorandum of Understanding with the relevant ETQA.
  • Moderation of assessment will be conducted by the relevant ETQA according to the policies and guidelines for assessment and moderation of that ETQA, at its discretion, in terms of agreements reached about assessment and moderation between various ETQAs (including professional bodies). 

  • 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 COLLECTING 
    Learners are able to collect, organise and critically evaluate information in investigating the functions of actuaries, underwriters, reinsurers and claims assessors. 

    UNIT STANDARD CCFO DEMONSTRATING 
    Learners are able to demonstrate an understanding of the world as a set of related systems by recognising the relationship between the roles of actuaries, underwriters, claims assessors, reinsurers and product development. 

    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 
    N/A 

    QUALIFICATIONS UTILISING THIS UNIT STANDARD: 
      ID QUALIFICATION TITLE PRE-2009 NQF LEVEL NQF LEVEL STATUS END DATE PRIMARY OR DELEGATED QA FUNCTIONARY
    Core  49529   Further Education and Training Certificate: Long-Term Risk Assessment  Level 4  NQF Level 04  Reregistered  2023-06-30  INSETA 
    Elective  49649   Further Education and Training Certificate: Long-term Insurance  Level 4  NQF Level 04  Reregistered  2023-06-30  INSETA 
    Elective  57613   Further Education and Training Certificate: Short-Term Risk Management  Level 4  NQF Level 04  Passed the End Date -
    Status was "Reregistered" 
    2012-06-30  INSETA 
    Elective  66613   Further Education and Training Certificate: Wealth Management  Level 4  NQF Level 04  Reregistered  2021-06-30  As per Learning Programmes recorded against this Qual 
    Elective  66389   Higher Certificate: Diagnostic and Procedural Coding  Level 5  NQF Level 05  Reregistered  2023-06-30  HW SETA 


    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. ALCARI 233 CC T/A ALCARI (Eversdal)(TP) 
    3. CKP Development Agency (Pty) Ltd. 
    4. De Vries Management & Training Services cc 
    5. DSBI (Pty) Ltd 
    6. Faisit (Pty) Ltd 
    7. Intec College 
    8. Invuya Institute of Learning (Pty) Ltd 
    9. Masifunde Training Centre (Pty) Ltd 
    10. Old Mutual Life Assurance Company South Africa 
    11. Ray Strodl Consulting (Pty) Ltd 
    12. Sanlam Life Insurance Ltd 
    13. Sanlam Life Insurance Ltd. 
    14. The Institute of Health Risk Managers (Pty) Ltd 
    15. Umfolozi FET College - Central Office 



    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.