๐“๐ก๐ž ๐จ๐›๐ฅ๐ข๐ ๐š๐ญ๐ข๐จ๐ง ๐ญ๐จ ๐ก๐š๐ฏ๐ž ๐ญ๐ซ๐š๐ข๐ง๐ž๐ ๐š๐ง๐ ๐œ๐จ๐ฆ๐ฉ๐ž๐ญ๐ž๐ง๐ญ ๐ฉ๐ž๐จ๐ฉ๐ฅ๐ž – ๐ฐ๐ก๐š๐ญ ๐๐จ๐ž๐ฌ ๐ญ๐ก๐ข๐ฌ ๐ฆ๐ž๐š๐ง?

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  • ๐“๐ก๐ž ๐จ๐›๐ฅ๐ข๐ ๐š๐ญ๐ข๐จ๐ง ๐ญ๐จ ๐ก๐š๐ฏ๐ž ๐ญ๐ซ๐š๐ข๐ง๐ž๐ ๐š๐ง๐ ๐œ๐จ๐ฆ๐ฉ๐ž๐ญ๐ž๐ง๐ญ ๐ฉ๐ž๐จ๐ฉ๐ฅ๐ž – ๐ฐ๐ก๐š๐ญ ๐๐จ๐ž๐ฌ ๐ญ๐ก๐ข๐ฌ ๐ฆ๐ž๐š๐ง?

AFS Licensees have an obligation to ensure that their ๐’“๐’†๐’‘๐’“๐’†๐’”๐’†๐’๐’•๐’‚๐’•๐’Š๐’—๐’†๐’” are adequately trained & are competent (s912A(1)(f) Corps Act)

๐—ช๐—ต๐—ผ ๐—ถ๐˜€ ๐—ฎ ๐—ฟ๐—ฒ๐—ฝ๐—ฟ๐—ฒ๐˜€๐—ฒ๐—ป๐˜๐—ฎ๐˜๐—ถ๐˜ƒ๐—ฒ?

Representative means (s9):

– an authorised representative of the licensee;
– an employee or director of the licensee;
– an employee or director of a related body corporate of the licensee; &
– any other person acting on behalf of the licensee.

๐˜ผ๐™Ž๐™„๐˜พ’๐™จ ๐™š๐™ญ๐™ฅ๐™š๐™˜๐™ฉ๐™–๐™ฉ๐™ž๐™ค๐™ฃ๐™จ

ASIC expects licensees to:

(a) identify the knowledge & skills your representatives need to competently provide the financial services;

(b) ensure they have the necessary knowledge & skills;

(c) ensure they undertake continuing training programs to maintain & update their knowledge & skills; &

(d) maintain a record of the training they have undertaken (this is required under reg 7.6.04(1)(d)).

As you will observe, training is an ongoing obligation.

๐™๐™ง๐™–๐™ž๐™ฃ๐™ž๐™ฃ๐™œ

Most firms adopt a CPD approach to training. However, in order to meet the obligation, representatives must be trained in financial services laws & in the specific financial services & insurance products offered.

Simply attending functions or events to obtain CPD points may not satisfy the AFSL obligation. The training must have a connection with your authorised financial services.

ASIC has specified minimum training for representatives who provide financial product advice to retail clients (RG 146):

Tier 1 products – personal sickness & accident, CCI;
Tier 2 – all other general insurance products.

๐˜พ๐™ค๐™ข๐™ฅ๐™š๐™ฉ๐™š๐™ฃ๐™˜๐™š

Competence includes skill, knowledge & experience. The competence must be aligned to the financial services (such as claims handling or insurance broking) & the products provided.

Generally role descriptions, qualifications, short industry courses, on the job training & professional membership (ANZIIF, NIBA) are indicators of competence however on-going training is required to ensure professional development & remaining relevant.

๐™๐™ง๐™–๐™ž๐™ฃ๐™ž๐™ฃ๐™œ ๐™จ๐™ฅ๐™š๐™˜๐™ž๐™›๐™ž๐™˜๐™–๐™ก๐™ก๐™ฎ ๐™›๐™ค๐™ง ๐™ฅ๐™š๐™ค๐™ฅ๐™ก๐™š ๐™ฌ๐™ค๐™ง๐™ ๐™ž๐™ฃ๐™œ ๐™ž๐™ฃ ๐™œ๐™š๐™ฃ๐™š๐™ง๐™–๐™ก ๐™ž๐™ฃ๐™จ๐™ช๐™ง๐™–๐™ฃ๐™˜๐™š

I have developed training options, specifically for general insurance, to assist in meeting your AFSL obligations:

I provide training services to businesses:

a) Facilitated training on financial services laws, Industry Codes, Responsible Managers; &
b) Design of in-house tailored compliance training modules.

Check out ‘Compliance Education & Training’ under the ‘Services’ tab on my website (link below)

I provide training services to individuals:

a) Compliance workshop in Brisbane 21st Mar
b) Monthly virtual financial laws training: next course 14th Mar
c) Membership subscription

Click below & go the tabs ‘Training’ & ‘Membership’ to learn more & register

Compliance Advocacy Solutions