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

Apply knowledge of business interruption insurance 
SAQA US ID UNIT STANDARD TITLE
120120  Apply knowledge of business interruption 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  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
2026-06-30   2029-06-30  

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 learners in commercial and industrial insurance including intermediaries, underwriters, reinsurers, claims assessors and learners in call centres.

The qualifying learner is capable of:
  • Explaining business interruption insurance.
  • Determining the insured value required for a specific business.
  • Analysing the relationship between an insured peril and an event.
  • Interpreting a business interruption insurance policy wording. 
    		•

    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. 

    UNIT STANDARD RANGE 
    The typical scope of this Unit Standard is:
  • Situations include, but are not limited to, type of business including agricultural business, processes of the business, ease of replacement and situation or location.
  • Extensions include, but are not limited to, prevention of access, public utilities, customers and suppliers, work expenses and wages. 
    		•

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Explain business interruption insurance. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The concept of business interruption insurance is explained with examples. 

    ASSESSMENT CRITERION 2 
    Situations where a business requires business interruption insurance are analysed for a specific business. 

    SPECIFIC OUTCOME 2 
    Determine the insured value required for a specific business. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    The concept of insured value is explained with reference to turnover. 

    ASSESSMENT CRITERION 2 
    The concept of the indemnity period is explained with reference to a specific insurer and business. 

    ASSESSMENT CRITERION 3 
    A financial solution is proposed for a specific business based on its financial statements. 

    SPECIFIC OUTCOME 3 
    Analyse the relationship between an insured peril and an event. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    Perils covered under a specific insurer's business insurance policy are analysed to determine when there could be a valid business interruption insurance claim. 

    ASSESSMENT CRITERION 2 
    The financial loss that could activate business interruption insurance is identified for a specific business. 

    SPECIFIC OUTCOME 4 
    Interpret a business interruption insurance policy wording. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    A policy wording is analysed to determine the terms and conditions. 

    ASSESSMENT CRITERION 2 
    Exclusions in the policy are analysed and an indication is given of why certain events are excluded in a policy. 

    ASSESSMENT CRITERION 3 
    Extensions and/or optional covers are identified for a specific insurer and a selected business. 


    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 capable of identifying and solving problems in which responses show that responsible decisions using critical thinking have been made in proposing a financial solution for a business. 

    UNIT STANDARD CCFO COLLECTING 
    Learners are capable of collecting, organising and critically evaluating information in analysing the financial statements of a business. 

    UNIT STANDARD CCFO COMMUNICATING 
    Learners are capable of communicating effectively in interpreting a policy wording and explaining the cover. 

    UNIT STANDARD CCFO DEMONSTRATING 
    Learners are capable of seeing the world as a set of related systems in explaining the relationship between perils and events under a business interruption policy. 

    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  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  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 


    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.
     
    NONE 


    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.