COP 103 SYLLABUS STUDENTS’S GUIDE

5.0 LONG TERM BUSINESS

5.1 Introduction
This course unit is intended to equip the trainee with knowledge, skills and attitudes
that will enable him/her to sell and promote life assurance, pensions and investment
products.

5.2 General Objectives

At the end of the course unit, the trainee should be able to:
a) demonstrate an understanding of the nature of long term business products
b) apply the appropriate process in selling long term business products
c) provide effective service to customers
d) apply the legal principles of insurance and other relevant legislation to long term
business practice
e) project a positive image of the insurance industry
f) recognise the role of social insurance in long term business.

5.3 Course Unit Summary and Time Allocation

Time
Code Topics Content
(Hours)
5.01 Nature of Long Term  Meaning of long term business 4
Business  Historical development of long term
business practice
 Features of long term business
 Types of long term business products
 Benefits of long term business

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 Time
Code Topics Content
(Hours)
5.02 Sale of Long Term  Long term business market 8
Business  Nature of competition in long term
business
 Sales cycle in long term business
5.03 Legal Principles of Long  Historical background of legal principles 8
Term Business Practice of long term business
 Legal principles of long term business
5.04 Relevant Legislations to  Registration and compliance 8
Long Term Business requirements for agents
 Duties of Insurance Regulatory
Authority (IRA)
 Role of Retirement Benefits Authority
(RBA)
 Tax benefits for a scheme approved by
Kenya Revenue Authority (KRA)
5.05 Ordinary Life Assurance  Meaning of assurance products 8
and Investment Products  Whole life assurance products
 Endownment assurance products
 Investment products
 Unit linked products
 Types of life annuities
 Uses of life assurance products
5.06 Administration of  Nature of a Proposal form 8
Ordinary Life Business  Underwriting of life policies
 Methods of rating extra risks
 Sections of a life assurance policy
 Life assurance policy administration
 Life assurance claims procedures
5.07 Group Term Assurance  Nature of group term assurance 8
 Types of group term assurance policies
 Administration of group term assurance
policies

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 Time
Code Topics Content
(Hours)
5.08 Retirement Benefits  Meaning of retirement benefits scheme 8
Schemes  Role of retirement benefits schemes
 Components of a retirement plan
 Categories of retirement benefits
schemes

5.09 Social Security Schemes  Nature of social security schemes 6

 Types of social security schemes
5.10 Emerging  Emerging issues and trends 4
Issues and Trends  Challenges posed by emerging issues
and trends
 Ways of coping with challenges posed
by emerging issues and trends
Total 70

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