Course introduction
This online course will enable you to understand: The purpose and scope of financial protection products; the main features of the different contract types and meeting client’s needs; the main business protection needs. The learning outcomes are appropriate both for someone studying for the CF3 exam or for professionals looking to brush up on their knowledge.

Course material
The course material consists of: 

• 15 sections of study notes containing several examples, and
• revision assessments for each section to help confirm your understanding.

Case study & final assessments
In addition, on completion of the course, you will have the opportunity to complete:

• A 100 question final revision assessment that uses the section revision questions
• A case study incorporating 20 multiple-choice questions
• A final 20 question assessment based on the study material. Your assessment results and answers to any questions answered incorrectly will be emailed to you. If you don’t pass, or just want to take a second test, an additional 20 question assessment can be taken.

Additional information
Access is provided for 6 months and includes syllabus updates. If you purchase 3 products your receive 12 months access plus syllabus updates PLUS you qualify for a large discount.

CPD credit
You will be credited with a minimum of 11 hours of CPD with the time added to your CPD certificate gradually as you complete each assessment. Your CPD hours and results will be added to your CPD certificate which can be viewed and printed from the CPD certificate link on the menu at any time.
 

FULL COURSE CONTENTS
The course is made up of 15 chapters covering the following areas:

Chapter 1 The need for protection - determining the facts
The Fact Find
What details should be collected?
The impact of divorce

Chapter 2 The need for protection – Planning for the future
The death of a breadwinner
The permanent disability of the main breadwinner
Redundancy of the main breadwinner
Death of a dependant spouse
Assessing the level of cover
Assessing priorities
Life Assurance to provide a lump sum
Family income benefit
Summary

Chapter 3 Analysing needs and finding solutions
Analysing needs and finding solutions:
Suitability
The adviser
The client
Factors which shape the advice and recommendation process
Personal details
Protecting financial dependents.
Protecting wealth
Protecting a business
Affordability
Summary – Factors to consider when selecting a product

Chapter 4 State benefits

General State benefit entitlement
Overview
Income support
Job seekers allowance
Child benefit
Death benefit entitlement
Statutory sick pay
Incapacity benefit
Short term incapacity benefit
Long term incapacity benefit
Disability living allowance
Attendance allowance

State pension benefit
Basic State pension
SERPS
State second pension
Inherited SERPs and S2P
State pension credit
Summary – points to consider for financial planning

Chapter 5 The legal and administrative aspects of life policies
The law of contract
Offer and acceptance
Insurable interest
Consideration
Capacity
Consensus ad idem and Utmost Good Faith

Chapter 6 Documentation
Product quote
Suitability report
Post – sale
Deeds of assignment

Chapter 7 Regulation of pure protection life assurance and general insurance
Insurance Conduct of Business (ICOB) rules
The difference between pure protection life assurance and general insurance?
To get advice or not to get advice
Required disclosure
Insurance Conduct of Business Sourcebook COBS/NEWCOB
Markets in Financial Instruments Directive (MiFID)
Treating customers fairly

Chapter 8 Types of life polices – Term assurance
Basic requirements for a valid term assurance
Level term assurance
Decreasing term assurance
Increasing term assurance
Convertible term assurance
Renewable term assurance
Gift inter-vivos term assurance
Family income benefit
Pension term Assurance
Group life cover
Summary

Chapter 9 Types of life polices - Whole of Life protection policies
Basic requirements for a valid whole of life contract
Non-profit whole of life assurance
With-profit whole of life assurance
Low Cost of Whole of life Assurance
Unitised with-profits whole of life assurance
Flexible Unit Linked Whole of Life Assurance
Universal Whole of Life Assurance
Summary

Chapter 10 General protection insurance
Income protection Insurance (IPI) - Individual Permanent Health (PHI) Insurance
Income protection Insurance (IPI) - Group Permanent Health Insurance
Critical Illness cover
Terminal Illness Cover
Differences between Terminal and Critical illness cover
Personal Accident Sickness and Unemployment (ASU) Policies or mortgage payment protection insurance (MPPI)
Accidental Death Cover
Long Term Care (LTC)

Chapter 11 Trusts & Wills

Wills
Wills and intestacy
General – why bother making a Will?
The advantages of writing a Will
Revoking a Will
Deeds of variation
Disclaimers
The laws of intestacy

Trusts
Basic trust structure
Types of trust
Changes to trusts from 22 March 2006
Uses of life assurance policies within trusts
Administration of trust policies

Inheritance Tax
General
Who is a UK domicile?
Identifying an IHT liability
The nil-rate band
Changes to the nil rate band introduced in the 2007 Pre-Budget Report
The liability to pay IHT
Using Life cover to reduce or eliminate IHT

Powers of attorney
Ordinary powers of attorney
Enduring powers of attorney
Lasting powers of attorney
Interaction between Enduring and Lasting powers of attorney.
The Court of Protection

Chapter 12 Business protection
Share Purchase protection
Partnership protection
Key person assurance
Business Loan protection

Chapter 13 Taxation of protection policies
Taxation of Term Assurance policies
The taxation of Whole of life policies
Taxation of Individual IPI (PHI)
Taxation of Group IPI (PHI)
Taxation of Critical Illness cover
Taxation of Terminal Illness cover
Taxation of Accident, Sickness & Unemployment cover
Taxation of Pension Term assurance
Taxation of Group Life Schemes
Chargeable event gains of Life Assurance policies
Deciding whether to do a full or part surrender – the impact this has on the chargeable gain.

Chapter 14 Underwriting
Proposal procedures at the new business stage
Differences between underwriting life assurance and Income protection insurance
Non Medical limits
Medical Evidence
Access to medical records
Occupational and lifestyle factors
How the underwriters will use this information
Summary

Chapter 15 Claims
General
Maturity claims
Surrender claims
Death claims
Ownership by joint tenancy or tenancy in common
Lost policies

Chapter 16 End of course assessments