Provide general advice in life insurance

Unit of competency Outline

Date retreived
23/07/2026 7:01 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.

Unit of competency

National Code
FNSASICM513

State Code
OED01

TGA Status
Current

DTWD Status
Approved

Current Release Number
1.00

Current Release Date
15/06/2022

View on TGA

State Implementation and Classification

Approved Date

07/12/2022

Field of Education

081103 - Insurance And Actuarial Studies

Original Release Date

07/12/2022

Nominal Hours

Description

This unit describes the skills and knowledge required to analyse and advise on general life insurance needs in line with current Australian Securities and Investments Commission (ASIC) regulation (Financial Services Reform Act) in the insurance specialist and generic knowledge areas.The unit applies to those who apply specialist product knowledge and well-developed interpersonal and communication skills in the provision of general advice in life insurance.Work functions in the occupational areas where this unit may be used are subject to regulatory requirements. Users are advised to check with the relevant regulatory authorities to confirm those requirements.

Notes

Elements and Performance Criteria

1. Establish relationship with client and identify objectives, financial situation

1.1 Establish client’s knowledge level, objectives, financial and business details
1.2 Identify client’s expectations of cash flow and relevant taxation obligations
1.3 Explain range of products and services available according to client objectives and financial situation
1.4 Outline fees associated with applicable products and services and explain charging methodology
1.5 Inform client of role of adviser and licensee or principal responsible for adviser’s conduct
1.6 Inform client of complaints-handling procedures

2. Analyse client’s objectives, needs, financial situation and risk profile

2.1 Assess client needs using information gathered and taking into account client’s product or service expectations and specific needs
2.2 Consult client throughout analysis and seek further clarification where necessary
2.3 Analyse need for specialist advice and refer client to appropriate adviser for higher level or specialist advice as required
2.4 Assess and agree on product risk profile of client
2.5 Apply ASIC generic and specialist knowledge applicable to products or services being offered

3. Develop and present strategies and solutions appropriate to client

3.1 Determine appropriate strategy to provide for identified needs and outcomes
3.2 Complete required research, analysis and product modelling according to organisational policies and procedures
3.3 Draft product or service solution for presentation to client that meets client needs and outcomes according to organisational policies and procedures
3.4 Explain and discuss proposed products or services with client according to organisational policies and procedures, legislative and regulatory requirements
3.5 Explain required details, terms and conditions of products or services to client and confirm client understanding
3.6 Disclose impacts and possible risks of products or services to client and confirm client understanding
3.7 Provide client with written supporting documentation following organisational procedures, and guide client through key aspects of documentation
3.8 Discuss and clarify any concerns and issues client has regarding proposed products or services
3.9 Seek client’s preferred products or services and confirm client’s preference

4. Coordinate implementation of agreed products or services

4.1 Seek formal agreement from client for proposed plan, policy or transaction
4.2 Explain associated fee and cost structures, and confirm client understands all details
4.3 Explain timeframes for execution and processing to client and confirm client understanding
4.4 Confirm that proposal and other documents are completed and signed off by client as required
4.5 Confirm that signed agreement and copies of appropriate documentation are exchanged

5. Provide arrangements for ongoing service, where requested by client

5.1 Confirm that type and form of ongoing service, including review of products or services, is agreed with client
5.2 Explain and confirm fees and costs for ongoing and specifically defined service, and confirm client understands all details
5.3 Implement procedures for agreed ongoing service according to organisational policies and procedures

No information

Replaces

State Code	National Code	Title	Type
AUQ45	FNSASICM503	Provide Tier 1 personal advice in life insurance	Unit of competency

State Code	National Code	Title	Type
BHU8	FNS51822	Diploma of Financial Services	Qualification