Unit of competency Outline
Date retreived
23/07/2026 10:18 AM AWST
23/07/2026 10:18 AM AWST
Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.
Manage group life insurance policy administration
Manage group life insurance policy administration
Unit of competency
National Code
FNSILF507A
FNSILF507A
State Code
WC247
WC247
TGA Status
Replaced
Replaced
DTWD Status
Replaced
Replaced
State Implementation and Classification
Approved Date
29/07/2014
Field of Education
081103 - Insurance And Actuarial Studies
Original Release Date
29/07/2014
Nominal Hours
45
Description
This unit describes the performance outcomes, skills and knowledge required to effectively administer group life insurance policies.
Notes
Elements and Performance Criteria
1. Recognise and apply relevant policy guidelines
- 1.1 Identify relevant group policy ownership structure and associated rules of administration
- 1.2 Verify a party’s authority to act in relation to a group life insurance policy
- 1.3 Use inter-organisational relationships to collect information and authorisations
2. Perform, or audit, the review of a group life insurance policy
- 2.1 Verify that a group meets the automatic acceptance eligibility criteria
- 2.2 Review member schedule and verify members’ eligibility for the group
- 2.3 Review member changes that have occurred in the period under review and make necessary adjustments to premiums and/or sums insured
- 2.4 Reconcile details of the policy to calculate premiums
- 2.5 Calculate and remit stamp duty payable on benefits as required in each state/territory
- 2.6 Calculate and apply group life profit share as per the terms of the policy, as necessary
3. Manage ongoing policy administration
- 3.1 Identify requests that exceed automatic acceptance limits and refer for individual underwriting
- 3.2 Manage medical information collection as necessary
- 3.3 Make payments to maintain distribution and administration agreements and reinsurance treaties
- 3.4 Collect premiums in accordance with policy terms
- 3.5 Manage the cancellation of cover where necessary
- 3.6 Update and issue documentation and records in accordance with procedures and regulatory requirements
- 3.7 Work with relevant parties to maintain organisational compliance
4. Manage complaints and disputes
- 4.1 Advise clients of dispute resolution procedures
- 4.2 Use inter-organisational relationships to seek resolution of complaints and disputes
- 4.3 Refer clients to an appropriate external dispute resolution body as appropriate
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Group policy ownership structure may be a:
employer/company
trustee for a lender
trustee of a master trust
trustee of an industry fund
trustee of a government fund
trustee of a corporate fund.
Group life insurance policy may include:
death
Total & Permanent Disablement (TPD)
salary continuance (income protection)
trauma
consumer credit.
Inter-organisational relationships include relationships between:
life insurers
brokers
employers
financial advisers
medical professionals
members
reinsurers
solicitors
state revenue office
superannuation funds
superannuation administrators
other administration companies
trustees
regulators.
Automatic acceptance eligibility criteria may include:
that the insured group meets minimum requirements (e.g. quantity of members, level of premium)
that a significant proportion of group members take up cover under the group life policy.
Members’ eligibility may be dependent upon:
whether the member was defined as a member of the group on the date cover commenced
whether cover was taken up within an acceptable period after having been deemed an eligible member.
Member changes may include:
changes in group membership
changes to members’ salaries
changes in cover.
Details of the policy may include:
relevant cover and policy wordings
limitations of cover set by the rules of the fund or by the group life policy
underwriting agreements
member schedule.
Payments may include
commissions
administration fees
associated GST
stamp duty
reinsurance premiums.
Manage the cancellation of cover may include:
assessing departing members’ eligibility for a continuation option as per policy terms
issuing statements, forms and documentation
updating records.
Procedures may include:
organisational complaints handling processes
organisational customer service charter
organisational guidelines
organisational policy
organisational privacy and confidentiality guidelines
organisational procedures.
Regulatory requirements may include:
corporations legislation
life insurance legislation
privacy legislation
superannuation legislation
Australian Securities and Investments Commission (ASIC) regulatory guides
Financial Services Council guidance notes and standards.
Maintain organisational compliance may include:
compiling statistics
composing and/or sourcing reports
maintaining documentation.
External dispute resolution body may include:
Financial Ombudsman Service
Superannuation Complaints Tribunal
other Australian Securities and Investments Commission (ASIC) approved dispute resolution services.
Group policy ownership structure may be a:
employer/company
trustee for a lender
trustee of a master trust
trustee of an industry fund
trustee of a government fund
trustee of a corporate fund.
Group life insurance policy may include:
death
Total & Permanent Disablement (TPD)
salary continuance (income protection)
trauma
consumer credit.
Inter-organisational relationships include relationships between:
life insurers
brokers
employers
financial advisers
medical professionals
members
reinsurers
solicitors
state revenue office
superannuation funds
superannuation administrators
other administration companies
trustees
regulators.
Automatic acceptance eligibility criteria may include:
that the insured group meets minimum requirements (e.g. quantity of members, level of premium)
that a significant proportion of group members take up cover under the group life policy.
Members’ eligibility may be dependent upon:
whether the member was defined as a member of the group on the date cover commenced
whether cover was taken up within an acceptable period after having been deemed an eligible member.
Member changes may include:
changes in group membership
changes to members’ salaries
changes in cover.
Details of the policy may include:
relevant cover and policy wordings
limitations of cover set by the rules of the fund or by the group life policy
underwriting agreements
member schedule.
Payments may include
commissions
administration fees
associated GST
stamp duty
reinsurance premiums.
Manage the cancellation of cover may include:
assessing departing members’ eligibility for a continuation option as per policy terms
issuing statements, forms and documentation
updating records.
Procedures may include:
organisational complaints handling processes
organisational customer service charter
organisational guidelines
organisational policy
organisational privacy and confidentiality guidelines
organisational procedures.
Regulatory requirements may include:
corporations legislation
life insurance legislation
privacy legislation
superannuation legislation
Australian Securities and Investments Commission (ASIC) regulatory guides
Financial Services Council guidance notes and standards.
Maintain organisational compliance may include:
compiling statistics
composing and/or sourcing reports
maintaining documentation.
External dispute resolution body may include:
Financial Ombudsman Service
Superannuation Complaints Tribunal
other Australian Securities and Investments Commission (ASIC) approved dispute resolution services.
The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.
Overview of assessment
Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the ability to:
apply highly developed analytical and administrative skills to group life insurance policy management
maintain and apply a thorough understanding of all aspects of administrative requirements
perform tasks in accordance with relevant procedures and regulatory requirements.
Context of and specific resources for assessment
Assessment must ensure:
competency is demonstrated in the context of the work environment and conditions specified in the range statement either in a relevant workplace or a closely simulated work environment
access to and the use of a range of common office equipment, technology, software and consumables
access to organisational policies and procedures.
Method of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:
evaluating an integrated activity, which combines the elements of competency for the unit, or a cluster of related units of competency
observing processes and procedures in workplaces
verbal or written questioning on underpinning knowledge and skills
evaluating samples of work
accessing and validating third party reports
setting and reviewing workplace projects and business simulations or scenarios.
Guidance information for assessment
Overview of assessment
Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the ability to:
apply highly developed analytical and administrative skills to group life insurance policy management
maintain and apply a thorough understanding of all aspects of administrative requirements
perform tasks in accordance with relevant procedures and regulatory requirements.
Context of and specific resources for assessment
Assessment must ensure:
competency is demonstrated in the context of the work environment and conditions specified in the range statement either in a relevant workplace or a closely simulated work environment
access to and the use of a range of common office equipment, technology, software and consumables
access to organisational policies and procedures.
Method of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:
evaluating an integrated activity, which combines the elements of competency for the unit, or a cluster of related units of competency
observing processes and procedures in workplaces
verbal or written questioning on underpinning knowledge and skills
evaluating samples of work
accessing and validating third party reports
setting and reviewing workplace projects and business simulations or scenarios.
Guidance information for assessment
Replaced By
| State Code | National Code | Title | Type |
|---|---|---|---|
| AUS04 | FNSILF507 | Manage group life insurance policy administration | Unit of competency |
| State Code | National Code | Title | Type |
|---|---|---|---|
| D776 | FNS51312 | Diploma of Life Insurance | Qualification |