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| Section | Weight | Objectives |
|---|---|---|
| Topic 1: Understand insurance business management | 12% | - Operational activities and controls - Underwriting and claims processes - Business objectives and strategy |
| Topic 2: Understand insurance company accounts and standards | 10% | - Solvency and capital reporting - Specific accounting rules for insurers - Statutory and regulatory reporting |
| Topic 3: Understand the structure of the insurance industry | 10% | - Regulatory framework and bodies - Main sectors and participants - Market distribution channels |
| Topic 4: Case studies integrating all learning outcomes | 10% | |
| Topic 5: Understand accounting principles and application | 18% | - Basic accounting concepts and standards - Income, expenditure and profit measurement - Asset and liability recognition |
| Topic 6: Understand roles and functions within insurance organisations | 8% | - Key departments and their interactions - Professional roles and responsibilities |
| Topic 7: Understand financial strength of insurance companies | 10% | - Reserving and risk capital - Capital adequacy requirements - Rating agencies and financial assessments |
| Topic 8: Analyse business performance using financial ratios | 10% | - Solvency and liquidity measures - Profitability and efficiency ratios - Interpretation and limitations of ratios |
| Topic 9: Understand corporate governance principles | 12% | - Compliance and ethical requirements - Governance structures and responsibilities - Risk management frameworks |
A public limited company which has a year end of 31 December must file their accounts by the following:
Correct Answer: C 🗳️
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Under the activity-based costing system used by the insurer, a department regarded as a profit centre will...?
Correct Answer: D 🗳️
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An insurance company uses the double-entry accounting principle for recording insurance transactions to reflect that it has
Correct Answer: D 🗳️
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If a company were to outsource specialist-claims handling services and extend the current 30 day period of credit given to brokers was extended to 90 days then what would be the consequence?
Correct Answer: D 🗳️
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An individual's role is to set policy, monitor controls and check adherence to it. Where is this role most likely to fall within the 'three lines of defence' model of risk management?
Correct Answer: A 🗳️
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