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 THAT HAS PASSED THE END DATE: 

Demonstrate knowledge and understanding of engineering insurance 
SAQA US ID UNIT STANDARD TITLE
14984  Demonstrate knowledge and understanding of engineering insurance 
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  5 
REGISTRATION STATUS REGISTRATION START DATE REGISTRATION END DATE SAQA DECISION NUMBER
Passed the End Date -
Status was "Registered" 		 2003-10-08  2006-10-08  SAQA 0150/03 
LAST DATE FOR ENROLMENT LAST DATE FOR ACHIEVEMENT
2007-10-08   2010-10-08  

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
242683  Demonstrate knowledge and understanding of engineering insurance  Level 4  NQF Level 04  5   

PURPOSE OF THE UNIT STANDARD 
This Unit Standard is intended for learners who manage risk in insurance and other organisations. It will be useful for risk management generalists, loss adjusters and learners in short term insurance.

The qualifying learner is capable of:
  • Explaining the subject matter of engineering insurance.
  • Explaining the concept of the insured in an engineering insurance contract.
  • Interpreting legislation that impacts on engineering insurance.
  • Applying a policy wording to engineering risk. 
    		•

    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 and Mathematical and Financial Literacy at NQF Level 3. 

    UNIT STANDARD RANGE 
    The typical scope of this Unit Standard is
  • Types of engineering insurance include, but are not limited to machinery, electronic, construction, plant and consequential covers.
  • Terms of risk are determined by age of the plant/machinery, availability of spare parts, effect of down time on the operation, redundant items, source of supplies, lead time and exposures such as natural hazards, negligence and design.
  • Possible extensions and exclusions include, but are not limited to expediting expenses, debris removal and fire risk.
  • Different ways of defining the sum insured include new placement cost, market value, use of formulas, depreciated cost and book value. 
    		•

    Specific Outcomes and Assessment Criteria: 

    SPECIFIC OUTCOME 1 
    Explain the subject matter of engineering risk. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    1. The concept of engineering insurance is explained with reference to the different types of insurance. 

    ASSESSMENT CRITERION 2 
    2. The concept of construction or erection risk is explained with reference to the type and term of the cover and the implications if the term is exceeded. 

    ASSESSMENT CRITERION 3 
    3. The concept of operational risk is explained with reference to the term of the cover and the insured's type of business. 

    ASSESSMENT CRITERION 4 
    4. A site is surveyed in order to evaluate the type of policy required in terms of the risk. 

    ASSESSMENT CRITERION 5 
    5. External factors that could affect the subject matter insured are investigated to determine appropriate policy cover 

    SPECIFIC OUTCOME 2 
    Explain the concept of the insured in an engineering insurance contract. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    1. The difference between the insured in a regular insurance policy and the insured in an engineering insurance policy is explained with examples. 

    ASSESSMENT CRITERION 2 
    2. The contractual relationship between the insured and sub-contractors is investigated and an indication is given of the extent of cover required by the contract. 

    ASSESSMENT CRITERION 3 
    3. The contractual relationship between the insured and other parties is investigated and an indication is given of the extent of cover required by the contract 

    SPECIFIC OUTCOME 3 
    Interpret legislation that impacts on engineering insurance. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    1. Legislation that impacts on the subject matter of engineering insurance is identified and an indication is given of how the legislation affects the insured's business. 

    ASSESSMENT CRITERION 2 
    2. The use of extensions to policy wordings to cover instances of non-compliance with legislation is explained with a view to negotiating insurance cover. 

    ASSESSMENT CRITERION 3 
    3. The influence of standard conditions of trading in different sectors on cover required for the insured's operation is explained with examples relevant to a specific contract. 

    SPECIFIC OUTCOME 4 
    Apply a policy wording to engineering risk. 

    ASSESSMENT CRITERIA     

    ASSESSMENT CRITERION 1 
    1. The basic types of cover in engineering insurance are identified in a policy wording. 

    ASSESSMENT CRITERION 2 
    2. Appropriate policy wordings for three subject matter/risks are sourced for a specific application. 

    ASSESSMENT CRITERION 3 
    3. Three possible extensions or exclusions to a contract are suggested to modify a contract of insurance. 

    ASSESSMENT CRITERION 4 
    4. The concept of sudden and unforeseen as opposed to gradual deterioration is explained with examples. 

    ASSESSMENT CRITERION 5 
    5. Three different ways of defining the sum insured are explained and an indication is given of the practical application of each and the consequences of under insuring. 


    UNIT STANDARD ACCREDITATION AND MODERATION OPTIONS 
    Accreditation for this Unit Standard shall be obtained from the relevant Education and Training Quality Assurance Body, through summative and formative assessment by a registered assessor.
  • Assessors must be registered as an Assessor with the INSQA or with an ETQA that has a Memorandum of Understanding with the INSQA
  • Moderators must be registered as assessors with INSQA, or with an ETQA that has a Memorandum of Agreement with INSQA.
  • Training providers must be accredited by the relevant ETQA.

    Moderation should include both internal and external moderation where applicable 
    		•

    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 surveying a site. 

    UNIT STANDARD CCFO COMMUNICATING 
    Learners are able to communicate clearly in explaining aspects of engineering insurance. 

    UNIT STANDARD NOTES 
    This unit standard has been replaced by unit standard 242683, which is ' Demonstrate knowledge and understanding of engineering insurance ', Level 4, 5 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  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.
     
    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.