One of the keys to achieving this is ensuring that industry training programmes are fit for purpose and properly prepare those wanting to enter or progress in the industry in ways that are realistic and relevant.
The NZ Certificate in Financial Services, administered by NZQA, is the pathway for those intending to provide regulated financial advice to clients or potential clients in specialist areas, including general insurance. Its purpose is to provide the financial services industry with individuals who have competence, knowledge, and skill in the provision of financial advice.
The review has produced proposed skills standards that are more reflective of the terminology and practices within the insurance sector
IBANZ Chief Executive Mel Gorham
Last year, the Ringa Hora Services Workforce Development Council initiated a review of the financial services professional practice unit standards, with the assistance of a sector review panel including representation from IBANZ. The goal was to evolve the current framework to produce better-informed and educated candidates for the benefit of our industry and clients.
The outcome was a set of skill standards to replace the unit standards listed on the NZQA Directory of Assessment and Skill Standards in Financial Services- Professional Practice (Level 5). For IBANZ, the focus was confined to revising the Core and General Insurance strands.
The Ringa Hora Workplace Development Council recently published the newly developed proposed skill standards
on its website, seeking public feedback. The changes recommended by the review would see 13 of the old unit standards removed.
Some of these have never been awarded and would be allowed to expire, others would be incorporated into other skill standards, and three entirely new skill standards have been developed - two for the Core qualification and one for the General Insurance strand.
Under the proposed criteria, the Core skill standards candidates will need to demonstrate are:
• Build client relationships and communicate ethically and professionally with clients
• Apply knowledge of financial markets and systems to provide financial advice solutions in a general financial services context
Under the proposed General Insurance strand candidates will need to demonstrate skills in the following:
• Apply knowledge of general insurance services with knowledge of general insurance environment and concepts
• Apply knowledge of insurance policy structure to interpret policy coverage and policy response for clients
• Analyse client information to establish general insurance needs
• Apply knowledge of general insurance products and services to meet client needs
• Apply administrative processes for the provision of general insurance services
IBANZ Chief Executive Mel Gorham says the review has produced proposed skills standards that are more reflective of the terminology and practices within the insurance sector. She’s confident the revised General Insurance strand will deliver far better equipped candidates with relevant underlying knowledge for the fire and general sector than is currently the case.
Alanna Lowe from Willis Towers Watson was deeply involved in working through this process as part of the sector review panel. She says, “In recent years, it feels that the emphasis in relation to L5 qualifications in the insurance industry has been on compliance with legislation and ensuring that our experienced brokers within the market obtain the required qualifications for the provision of regulated financial advice.
“The move from unit standards to skills standards has provided an opportunity to shift the focus to the needs of new entrants to our industry and ensure that they are provided with the foundational skills required to succeed as insurance advisors.”
Feedback has now closed on the proposed new skill standards. Once they are finalised and made available to qualification providers, an expiry date will be confirmed for the current unit standards.
