Unit of competency Outline
Date retreived
23/07/2026 11:15 AM AWST
23/07/2026 11:15 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.
Review and update claim reserves in portfolio
Review and update claim reserves in portfolio
Unit of competency
National Code
FNSISV514A
FNSISV514A
State Code
D4252
D4252
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
40
Description
This unit describes the performance outcomes, skills and knowledge required to review and update insurance claims reserves in a portfolio to minimise losses. It encompasses identifying and analysing claims, reserves trends data, legislation and regulations, reports and related documents; monitoring funds, interpreting the results and reporting on the findings to minimise losses.This unit is applicable to individuals working within enterprises and job roles subject to licensing, legislative, regulatory or certification requirements including legislation administered by the Australian Securities and Investments Commission (ASIC).
Notes
Elements and Performance Criteria
1. Review claims reserves
- 1.1. Claims reserves are regularly reviewed to ensure they accurately reflect expectations
- 1.2. Accurate data is provided to assist underwriters to identify and charge appropriate policy premiums
2. Monitor funds
- 2.1. Funds are monitored to ensure adequate reserves exist to pay claims as they fall due for payment
3. Support claims staff in claims reserve activities
- 3.1. Claims coordination staff are supported, as required, to identify accurate initial claims reserves
- 3.2. Claims coordination staff are supported, as required, in allocation of claim to appropriate claims specialists
4. Authorise payments, settlements and changes to reserves
- 4.1. Payments, settlements and reserves changes are authorised as requested by claims specialists that are outside their delegated authority, as required
5. Identify required changes to portfolio, claims reserves policy or procedures
- 5.1. Identified information is communicated promptly to decision makers in the management structure according to organisation procedures
- 5.2. Changes to policy and procedures are instigated to minimise claims losses in similar circumstances
RANGE STATEMENT
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.
Claims reserves data may be gathered from:
claims frequency
claims reserving policies, trends, data
claims settlement costs
claims specialists and other relevant staff
loss ratios
portfolio reporting data and historical information
reports on claims
surveys.
Accurate data may include:
claim statistic reports
premium reports
surveys
other relevant materials.
Decision making activities may include:
consultation
fact finding
research.
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.
Claims reserves data may be gathered from:
claims frequency
claims reserving policies, trends, data
claims settlement costs
claims specialists and other relevant staff
loss ratios
portfolio reporting data and historical information
reports on claims
surveys.
Accurate data may include:
claim statistic reports
premium reports
surveys
other relevant materials.
Decision making activities may include:
consultation
fact finding
research.
EVIDENCE GUIDE
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:
undertake high level data collection, analysis and monitoring skills
apply communication skills related to the review, update and reporting of claims reserves in an insurance claims portfolio
interpret and comply with relevant legislation and claims/reserves trends thorough understanding of the industry and organisation obligations and objectives.
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 organisation records
access to organisation policies and procedures.
Method of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples, in combination, 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
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:
undertake high level data collection, analysis and monitoring skills
apply communication skills related to the review, update and reporting of claims reserves in an insurance claims portfolio
interpret and comply with relevant legislation and claims/reserves trends thorough understanding of the industry and organisation obligations and objectives.
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 organisation records
access to organisation policies and procedures.
Method of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples, in combination, 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 |
|---|---|---|---|
| AUS14 | FNSISV514 | Review and update claim reserves in portfolio | Unit of competency |
| State Code | National Code | Title | Type |
|---|---|---|---|
| S727 | FNS51110 | Diploma of General Insurance | Qualification |
| D776 | FNS51312 | Diploma of Life Insurance | Qualification |