National Certificate in Insurance Administration. NQF Level 3

Transcription

1 Working together for a skilled tomorrow National Certificate in Insurance Administration NQF Level 3 Unit Standard 8993: Interpret current affairs related to financial services in general and insurance in particular Credits: 10 Notional Hours of Learning: 100 Learner Material This outcomes-based learning material was developed by IISA with funding from INSETA in March The material is generic in nature. It s purpose is to serve as a guide for the further development and customization of company-specific, learner-specific and situation-specific learning interventions.

2 Page 2 Contents Topic Page Unit Standard...3 Learner material...6 Instructions...6 Process/Activities...7 Examples: Guide for Assessment of Portfolio...10 Critical Crossfield Outcomes...11 Oral Assessment...12 Additional Notes/Resources...13

3 Page 3 1. TITLE: Interpret current affairs related to financial services in general and insurance in particular 2. UNIT STANDARD NUMBER: LEVEL ON NQF: 3 4. CREDITS: FIELD: Business, Commerce and Management Studies SUB FIELD: Finance, Economics and Accounting 6. ISSUE DATE: 7. REVIEW DATE: 8. PURPOSE: This unit standard is intended to promote general knowledge and understanding of current affairs in the financial services industry in order to ensure knowledgeable and informed workers in the industry. It addresses a broad base of knowledge and requires the interpretation and comparison of current affairs. Practical competence includes significant choice and a wide range of contexts. The qualifying learner is capable of: Interpreting events in the physical, socio-political and economic environments that impact on the insurance sub-field. Interpreting business news events of importance to the insurance sub-field. Comparing information about the same event from two sources. Accessing information from a variety of media. 9. LEARNING ASSUMED TO BE IN PLACE: There is open access to this unit standard. Learners should be competent in Communication and Mathematical literacy at Level SPECIFIC OUTCOMES AND ASSESSMENT CRITERIA: SO Description Assessment Criteria 1. Interpret information about events in the physical environment that could impact on the insurance sub-field. (Range: Includes but is not restricted to floods, earthquakes,drought and other natural disasters) 1.1 Current events in the physical environment are interpreted and an indication is given of their possible impact on the insurance subsectors. 1.2 Information relating to current events in the physical environment is collected and organised to allow for comparison. 1.3 Similar events in the physical environment are compared in terms of severity of impact on the insurance sub-field. 1.4 Events in the physical environment are compared in a table in terms of severity and impact for three sectors of the sub-field. 1.5 Reports on the same event in the physical environment from the main section and the business section of a daily or weekly newspaper or any other relevant medium of communication are compared and the differences between the reports are tabulated.

4 Page 4 2. Identify events in the sociopolitical environment that could impact on the insurance sub-field. (Range: Includes but is not restricted to elections, legislation, diseases, pandemics, war, riots and other socio events or disasters) 3. Identify events in the economic environment that could impact the insurance sub-field. (Range: Includes but is not restricted to insolvencies, mergers, acquisitions, retrenchments, market fluctuations) 2.1 Current events in the socio-political environment are interpreted and an indication is given of their possible impact on the insurance sub-sectors. 2.2 Information relating to current events in the socio-political environment is collected and organised to allow for comparison. 2.3 Similar events in the socio political environment are compared in terms of severity of impact on the insurance sub-field. 2.4 Socio-political events are compared in a table in terms of severity and impact for three sectors of the sub-field. 2.5 Reports on the same event in the socio-political environment from the main section and the business section of a daily or weekly newspaper or any other relevant medium of communication are compared and the differences between the reports are tabulated. 3.1 Current events in the economic environment are interpreted and an indication is given of their possible impact on the insurance sub-sectors. 3.2 Information relating to current events in the economic environment and inflation is collected and organised to allow for comparison. 3.3 Similar events in the economic environment are compared in terms of severity of impact on the insurance sub-field. 3.4 The concept of inflation is explained with reference to the effect of inflation on insurance premiums, medical costs, pensions and the value of the Rand in real terms. 3.5 Current value and the effect of inflation are compared for two different investments. 3.6 Socio-economic events are compared in a table in terms of severity and impact for three sectors of the sub-field. 3.7 The events are interpreted in terms of groups of people and kinds of work most likely to be affected by each event. 3.8 Reports on the same event in the economic environment from the main section and the business section of a daily or weekly newspaper or any other relevant medium of communication are compared and the differences between the reports are tabulated. 4. Compare business news of importance 4.1 Events in business that make headline news are identified and prioritised in terms of importance to a particular section of the insurance sub-field. 4.2 The importance of the event, and possible repercussions within the insurance sub-field are discussed. 4.3 Problems experienced in the financial services industry are interpreted and compared to industry best practice. 4.4 New developments in the financial services industry are examined and an indication given of their potential to improve business practice. 4.5 Two major events in the financial services industry are selected and compared in terms of their impact on the insurance sub-field.

5 Page ACCREDITATION AND MODERATION: This unit standard will be internally assessed by the provider and moderated by a moderator registered by INSQA or a relevant accredited ETQA. The mechanisms and requirements for moderation are contained in the document obtainable from INSQA, INSQA framework for assessment and moderation. 12. RANGE STATEMENT: The typical scope of this unit standard is news from a daily or weekly newspaper, television or radio newscast or other news medium. Learners are not expected to access information from dedicated financial newspapers or journals. 13. NOTES: CRITICAL CROSS-FIELD and DEVELOPMENTAL OUTCOMES: This unit standard supports in particular, the following critical cross field outcomes at unit standard level: 1. Learners can collect, organise and evaluate information when researching and interpreting current affairs and indicating the possible impact of current events on the insurance sector. 2. Learners are able to demonstrate an understanding of the world as a set of related systems when comparing and interpreting socio-political, economic and physical events and the groups of people and kinds of work most likely to be affected by the events. 3. Learners can communicate effectively using visual, mathematics and language skills when presenting the findings of their research. 4. Learners are able to explore a variety of strategies of learning when gathering information from a broad spectrum of media.

6 Page 6 Instructions: This task is expected to require 100 hours of reading, research and response by you Your notes, summaries, written feedback, and transcribed oral feedback (where applicable) must be collected and stored in a portfolio. The portfolio can be a flip file, scrapbook or exercise book. Each article / notes or summary should be neatly pasted, dated and headed Specific Outcome 1, 2, 3, or 4 depending on what aspect it covers. Your portfolio will be assessed at the end of the twelve-week period. During the twelve weeks, you should have regular contact and discussion sessions with your trainer / facilitator. During these sessions the progress of your portfolio will be checked. Should you live in a rural / distant area, your contact session can be telephonic / via fax or via . At these contact sessions you will be asked to comment on some of the articles you selected and this oral input will form part of your assessment for this unit standard. After three months you will also need to fill in a questionnaire as part of the assessment of this unit standard.

7 Page 7 ACTIVITIES Number Aspect of task Done Specific Outcome 1: Interpret information about events in the physical environment that could impact on the insurance subfield Action 1 Do PERSONAL RESEARCH to obtain information regarding interpretation of information about events in the physical environment that could impact on the insurance sub-field. Once you have this information, write down (or type) on a piece of paper the answers to the following questions: The answers to the questions below need not be longer than a paragraph each.) Interpret current events in the physical environment and give an indication of their possible impact on the insurance subsectors. Collect and organise information relating to current events in the physical environment to allow for comparison. Compare similar events in the physical environment and rank them in order of the severity of impact on the insurance subfield. Compare events in the physical environment in a table in terms of severity and impact for three other? sectors of the sub-field. Compare reports on the same event in the physical environment from the main section and the business section of a daily or weekly newspaper or any other relevant medium of communication and put the differences between the reports into a table fro comparison. Once you have answered these questions, paste the answers into your portfolio of evidence, and number them clearly : Specific Outcome 1, Number 1

8 Page 8 Number Aspect of task Done Specific Outcome 2: Identify events in the socio-political environment that could impact on the insurance sub-field Action 2 Do PERSONAL RESEARCH to obtain information regarding events in the socio-political environment that could impact on the insurance sub-field. Once you have this information, write down (or type) on a piece of paper the answers to the following questions (the answers to the questions below need not be longer than a paragraph each): Interpret current events in the socio-political environment and give an indication of their possible impact on the insurance subsectors. Collect and organise information relating to current events in the socio-political environment to allow for comparison. Compare similar events in the socio political environment in terms of severity of impact on the insurance sub-field. Compare socio-political events in a table in terms of severity and impact for three sectors of the sub-field. Compare reports on the same event in the socio-political environment from the main section and the business section of a daily or weekly newspaper or any other relevant medium of communication and tabulate the differences between the reports. Once you have answered these questions, paste the answers into your portfolio of evidence, and number them clearly : Specific Outcome 2, Number 2 Specific Outcome 3: Identify events in the economic environment that could impact on the insurance sub-field Action 3 Do PERSONAL RESEARCH to obtain information regarding events in the economic environment that could impact on the insurance sub-field. Once you have this information, write down (or type) on a piece of paper the answers to the following questions (the answers to the questions below need not be longer than a paragraph each): Interpret current events in the economic environment and give an indication of their possible impact on the insurance subsectors. Collect and organise information relating to current events in the economic environment and inflation so as to allow for comparison. Compare similar events in the economic environment in terms of severity of impact on the insurance sub-field. Explain the concept of inflation with reference to the effect of inflation on insurance premiums, medical costs, pensions and the value of the Rand in real terms. Compare current value and the effect of inflation for two different investments. Compare socio-economic events in a table in terms of severity and impact for three sectors of the sub-field.

9 Page 9 Number Aspect of task Done Interpret the events in terms of groups of people and kinds of work most likely to be affected by each event. Compare reports on the same event in the economic environment from the main section and the business section of a daily or weekly newspaper or any other relevant medium of communication and tabulate the differences between the reports. Once you answered these questions, paste the answers into your portfolio of evidence, and number them clearly : Specific Outcome 3, Number 3 Specific Outcome 4: Compare business news events of importance Action 4 Do PERSONAL RESEARCH to obtain information regarding the comparing of business news events of importance. Once you have this information, write down (or type) on a piece of paper the answers to the following questions (the answers to the questions below need not be longer than a paragraph each): Identify events in business that make headline news and prioritise it in terms of importance to a particular section of the insurance sub-field. Discuss the importance of the event, and possible repercussions within the insurance sub-field. Interpret problems experienced in the financial services industry and compare it to industry best practice. Examine new developments in the financial services industry and give an indication of their potential to improve business practice. Select and compare two major events in the financial services industry in terms of their impact on the insurance sub-field. Once you answered these questions, paste the answers into your portfolio of evidence, and number them clearly : Specific Outcome 4, Number 4

10 Page 10 Guide for assessment of portfolios Assessment Criteria SPECIFIC OUTCOME 1 Interpret information about events in the physical environment that could impact on the insurance sub-field. Learner is competent The questions concerning events in the physical environment are answered correctly The answers are pasted into the portfolio of evidence Learner is not yet competent All or part of each activity not done or incomplete NOT done or all questions not answered The explanation and examples not recorded The concept and illustration are not recorded SPECIFIC OUTCOME 2 Identify events in the sociopolitical environment that could impact on the insurance sub-field SPECIFIC OUTCOME 3 The questions concerning events in the socio-political environment are answered correctly The answers are pasted into the portfolio of evidence Terms and explanation are not recorded List not recorded Identify events in the economic environment that could impact on the insurance sub-field SPECIFIC OUTCOME 4 Compare business news events of importance The questions concerning the events in the economic environment are answered correctly. The answers are pasted into the portfolio of evidence The questions regarding the comparison of business news events of importance are answered correctly. The answers are pasted into the portfolio of evidence Terms and explanation are not recorded List not recorded Comparisons are not recorded List not recorded

11 Page 11 CRITICAL CROSSFIELD OUTCOMES MATRIX FOR ACTIVITIES RELATED TO UNIT STANDARD Demonstrate knowledge and understanding of the interpretation of current affairs related to financial services in general and insurance in particular. Activity Solve problems / Make Decisions Teamwork Organisation Information Communicate Technology Related Systems Personal Development

12 Page 12 Oral Assessment The trainer will use this table to monitor your participation during the discussions at your contact sessions. You are expected to contribute during each of the contact sessions. Action Yes No The learner brought summaries and notes made to the session for discussion. The learner makes notes during the discussion, where notes are required to be transcribed. The learner demonstrates his / her knowledge and understanding by being able to discuss: Interpreting events in the physical, socio-political and economic environments that impact on the insurance sub-field. Interpreting business news events of importance to the insurance subfield. Comparing information about the same event from two sources. Accessing information from a variety of media. The learner can take part in group discussions by talking about other learner s feedback and reports.

13 Page 13 ADDITIONAL NOTES The specific objectives of this programme are: Introduce this unit standard with a general discussion about the interpretation of current affairs related to financial services in general and insurance in particular. Explain and go through the unit standard with the learners so that they can understand fully what is expected of them Provide articles or other information relating to the interpretation of current affairs related to financial services in general and insurance in particular. Hand out some articles you have sourced to the learners, so that they can see that it is not so difficult to find information Advise learners of the importance to keep their portfolio of evidence intact and complete. Advise learners that oral / written feedback will be conducted during the contact sessions, which will form part of their formative assessment. Explain to learners what Formative and Summative assessments are and the relevant ratio. Hand out to learners: o A schedule of contact lessons, i.e. dates and times o A copy of the list of terms. Explain the terms very clearly. o The table used for oral assessment (part of portfolio) Annexure A. o The guide used for assessment of the portfolio (learners must submit it for completion at each contact session) Annexure B. Other resources that may come in handy in the learner s research Internet provide copies of articles if used Marketing material, company intranet, actuarial department, Human Resources department Tell the learners that after three months they will be required to complete a questionnaire as part of the assessment of this unit standard. Tell them of the duration of this summative assessment and come to an agreement with the learners on where and when the assessments will take place. The content of the questionnaire must include the Critical Cross-field outcomes.

14 Page Note to trainers: You can give the learners articles or notes to assist them During the discussions you can adapt the content of the text material to suit your company needs and products. Use the company as a provider example to provide the learner with knowledge and understanding of the role. Each learner should the be able to answer the following question: How well do I understand the interpretation of current affairs related to financial services in general and insurance in particular? The learner s research and learning during this course will equip the learner with the knowledge and skills to empower them to understand the interpretation of current affairs related to financial services in general and insurance in particular. 2. Explanation of task The following terms (if applicable to this unit standard) must be clearly explained to the learners when they are given the portfolio task. It would be advisable to provide them with a copy of these terms to which they can refer when necessary. Term Assets Claim Acceptance Cover Disclosure Good faith Disclosure Liability Liabilities Offer Insurable Interest Interest Exclusions Policy Premium Risk Explanation Property and possessions that are regarded as having value. An application for a payout from an insurance contract. A willingness to accept the terms and conditions of a contract/circumstance etc. The amount of insurance to meet a liability or to protect against loss. Revealing all the facts relevant to the insurance proposal. If either party fails to do this, the contract may be declared invalid. When both the insurer and the insured provide all the relevant facts and do not try to hide anything. The act of telling the truth about the risk that is to be covered. Responsibility for debt or financial obligations. When used in the financial sense, the word liabilities refers to the money that you owe or your debts. A proposal of business, a proposal for insurance for example. The legally recognised relationship between the insured and the financial loss that s/he suffers following a loss. This must exist for an insurance contract to be considered valid. The money paid for the use of money that has been lent. When you deposit money in the bank, the bank will pay you interest on your deposit. Similarly, when you borrow money from the bank through a credit card or home loan, you have to pay the bank interest on the money that the bank lent you. Situations under which insurance cover is no longer valid. For example exclusion on a household might be that the insurer would not meet your claim if you went away for two weeks, leaving the alarm off and a door open, and then you were burgled. Evidence of a contract of insurance An amount to be paid for a policy of insurance. This is usually paid on a monthly basis. Either the possibility of a loss against which insurance is taken out, or the item that is being insured.

15 Page 15 Proposal Subject matter Portfolio(in relation to learners) Long term insurance Contact sessions Retirement fund Trustees Claim Tax deduction Equal Preserving Deduct Contributions Withdrawal Ready to exit fund Elected Fund managers Literacy Written request Query A document which suggests the terms and conditions of an insurance contract, filled in by someone wanting to buy insurance. The items to be insured in an insurance contract. A collection of work, which in this instance, will be compiled over six months, regularly monitored and which will contain information from the media and analysis by the learner. Insurance such as life, retirement funding, etc. where a value is placed on the person insured. These are times when learners meet with the trainer as a group. Contact session should be held at least once a month. At the contact session, portfolios will be checked and learners will participate in discussion about items they have found. A special type of savings fund that companies often set up with their workers, to help them save money for retirement, death or illness. People who are chosen to represent the financial affairs of someone else, for example, employees trust them to do a good job and to look after the retirement fund. To ask for something, to say that something belongs to you. An amount of money that a person does not have to pay income tax on. All are the same To preserve something is the same as saving something. Means to take or withdraw. Your company deducts money from your salary. This means that your company takes money from your salary each month. What the company gives to the fund. Take some or all of the money out of fund. To go on retirement (usually at normal retirement age) Chosen people Experts who look after the fund or its investments. Able to read well To write down instead of asking orally Means to ask questions about something. It is important when explaining the task that the assessment tools for both the oral participation and completed portfolio are given to the learners. They will be able to use these tools to assess their progress. Emphasize that the portfolio must contain articles, notes and summaries covering the twelveweek period and that the portfolios will be monitored at each contact session. 3. CONTROL At each contact session spend a few minutes reviewing the items, notes and summaries that each learner has brought. Assess whether the learner is able to demonstrate knowledge and understanding of: Interpreting events in the physical, socio-political and economic environments that impact on the insurance sub-field. Interpreting business news events of importance to the insurance sub-field. Comparing information about the same event from two sources.

16 Page 16 Accessing information from a variety of media. This is the important aspect of the task and learners may require help in making these links at first. Record the date of the contact session and a brief comment on the state of the portfolio at the back of the document: This will make the learner aware of the progress that has been made or corrective steps that need to be taken 4. ASSESSMENT This task involves two types of assessment: formative, continuous assessment of oral participation and research from the retirement fund booklet and various resources within the company, and summative assessment of the portfolio. Assess each learner s participation in the oral discussion at each contact session by filling in the table provided. The learner should be shown his / her assessment so that they know what they need to improve at the next contact session. After a careful review of the completed portfolio, it can be assessed by completing the table in Annexure B. This table indicates to the learner which of the specific outcomes has been met by assessing the work submitted against the assessment criteria in the guide they were given. If the outcome has not been met, the trainer should indicate what steps should be taken by the learner to meet the criteria. These comments can be made in the learner is not yet competent block next to the relevant specific outcome.

17 Page 17 Annexure A Learner Name Learner Number Unit Standard : : : Oral Assessment Action Yes No The learner has brought a variety of articles / summaries and a draft copy of workplace guidelines to the session The learner is able to discuss topics researched and explains he relationship to the insurance industry The learner is able to participate in a discussion about other learner s articles The learner displays a general knowledge of events and circumstances that are not necessarily covered in the articles brought to the contact session Date : Signature :

18 Page 18 Annexure B Learner Name Learner Number Unit Standard : : : Rubric for Assessment of portfolio Assessment Criteria Learner is competent Learner is not yet competent Specific Outcome 1: Interpret information about events in the physical environment that could impact on the insurance sub-field. Specific Outcome 2: Identify events in the sociopolitical environment that could impact on the insurance sub-field Specific Outcome 3: Identify events in the economic environment that could impact on the insurance sub-field Specific Outcome 4: Compare business news events of importance Date : Signature :