SAQA 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.
SOUTH AFRICAN QUALIFICATIONS AUTHORITY 
REGISTERED UNIT STANDARD: 

Explain credit life insurance 
SAQA US ID UNIT STANDARD TITLE
119260  Explain credit life 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 intended for insurance and business managers in retail outlets who sell retail insurance and are required to be registered under FAIS. It will also be useful for learners who sell payment protection and learners in banks and insurance organisations who work with credit life insurance including motor financing.

The qualifying learner is capable of:
  • Analysing the risk associated with debt.
  • Explaining credit life cover.
  • Differentiating between life and credit life cover.
  • Analysing the terms and conditions of a credit life policy. 

  • 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 
  • Credit life refers to debt protection.
  • Disability includes partial, total and temporary disability.
  • Dread disease includes, but is not limited to: Cancer, stroke, heart disease, renal failure, major burns, loss of limb, loss of speech, blindness, multiple sclerosis, human to human organ transplants, coma, blindness and HIV.
  • Life products include, but are not limited to: Term, Conventional and Universal Life products. 

  • Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Analyse the risks associated with debt. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The risks on death are analysed for three different scenarios. 

    ASSESSMENT CRITERION 2 
    The risks on disability are analysed for three different scenarios. 

    ASSESSMENT CRITERION 3 
    The risks on dread disease are analysed for three different scenarios. 

    ASSESSMENT CRITERION 4 
    The risks on retrenchment are analysed for three different scenarios. 

    SPECIFIC OUTCOME 2 
    Explain credit life cover. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The concept of credit life insurance is explained with reference to debt. 

    ASSESSMENT CRITERION 2 
    The events covered in a credit life policy are analysed from a policy document. 

    ASSESSMENT CRITERION 3 
    The advantages of credit life cover are explained with reference to the client, the retail outlet and the financial institution. 

    ASSESSMENT CRITERION 4 
    The consequences if a customer declines credit life cover are explained with reference to the customer, the retail outlet and the financial institution. 

    ASSESSMENT CRITERION 5 
    The difference between outstanding debt and outstanding capital is explained with reference to the amount payable on an event. 

    SPECIFIC OUTCOME 3 
    Differentiate between life and credit life cover. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    The underwriting of life and credit life policies is compared and an indication is given of the affect on premium and cover. 

    ASSESSMENT CRITERION 2 
    A credit life policy and life policy are compared with reference to cover, payment of claims and the beneficiary. 

    ASSESSMENT CRITERION 3 
    The assessment of claims against a credit life and life policy is compared in terms of the consequences of the claims decision in each case. 

    SPECIFIC OUTCOME 4 
    Analyse the terms and conditions of a credit life policy. 

    ASSESSMENT CRITERIA
     

    ASSESSMENT CRITERION 1 
    A selected credit life policy document is analysed to determine the cover. 

    ASSESSMENT CRITERION 2 
    General and specific exclusions in a selected policy are analysed and explained with examples. 

    ASSESSMENT CRITERION 3 
    The specifications in a specific policy are analysed with reference to eligibility, sum assured, policy options and cessation of benefits. 

    ASSESSMENT CRITERION 4 
    The consequences of a claims decision are explained with reference to the client, the retailer and the insurer. 


    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 comparing a credit life and life policy. 

    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 debt and risk and the consequences of a claims decision for the client, the retailer and the insurer. 

    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
    Elective  64289   Further Education and Training Certificate: Automotive Sales and Support Services  Level 4  NQF Level 04  Reregistered  2023-06-30  MERSETA 
    Elective  49649   Further Education and Training Certificate: Long-term Insurance  Level 4  NQF Level 04  Reregistered  2023-06-30  INSETA 
    Elective  49529   Further Education and Training Certificate: Long-Term Risk Assessment  Level 4  NQF Level 04  Reregistered  2023-06-30  INSETA 
    Elective  66609   Further Education and Training Certificate: Retail Insurance  Level 4  NQF Level 04  Reregistered  2021-06-30  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. Alcari Learning Centre (Pty) Ltd 
    2. BMW SA (Pty) Ltd (ROSSLYN) (TP) 
    3. BPC HR Solutions (PRETORIA) (TP) 
    4. CKP Development Agency (Pty) Ltd. 
    5. College of Production Technology 
    6. Equal Career Services (Pty) Ltd (CENTURION) (TP) 
    7. Executive People Development Solutions (Pty) Ltd 
    8. Intec College 
    9. Intelligo Solutions Pty (Ltd) 
    10. Invuya Institute of Learning (Pty) Ltd 
    11. JESUA CONSULTANTS (Hartenbos) (WA) 
    12. Jesua Consultants (Pty) Ltd (MOSSEL BAY) (TP) 
    13. KwaZulu Automotive Training Services cc (KZN) (DURBAN) (TP) 
    14. Masifunde Training Centre (Pty) Ltd 
    15. RJM Educational Consulting PTY LTD 
    16. Ronald Sewell & Associates SA (Pty) Ltd T/A Sewells (BRYANSTON) (TP) 
    17. The Institute of Health Risk Managers (Pty) Ltd 
    18. Toyota Academy Toyota SA Motors (Pty) Ltd (SANDTON) (TP) 
    19. Ziphi Nkomo Training Services 



    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.