Unit Linked Life Assurance Products



The EU Third Life Directive gives a European passport to Life Assurance products authorised in one EU member allowing them to be sold in other EU countries.


Luxembourg for reasons of tax secrecy, geography etc. has been selected by many foreign companies as a base in which to set up pan-European Life Assurance operations, especially when Unit Linked or when there is a strong investment consideration with a wide choice of funds, including profiles with a guaranteed capital return.


To meet Luxembourg regulatory requirements, detailed processes and operations must be established to handle client data, money, transfers, accounting and pricing and to control policy values.


This course provides a detailed overview of the operational areas and regulations, as well as the business venues that can arise via 3 modules:-


Review of the Life Cycle of a Unit Linked Policy with examples


Consideration of the Regulatory and Business Issues Arising


Legal & Regulatory Control Framework required





Managers, Supervisors and employees in the back office of fund administrators and banks dealing with these products or considering entering this business activity


Fund Accountants in Banks and Fund Administrators or Assurance companies administering unit-linked products


Transfer Agency Managers and Staff handling these products seeking a good overview


Auditors of Unit Linked Life Assurance operations


Delegates need at least 6 months experience of work in at least one area in a Life Operation or Fund Administrators or Transfer Agency.  Specific Unit Linked life assurance experience is not needed.




Basics of Unit Linked Life Products and Data Flow

Product Structure

Application form and its content

Policy considerations and content. Policy Issue

Premium payments: Methods and Cleared Funds

Investment selection and application

Asset Allocation

Other Back Office tasks

Intermediaries: structure, reporting and commissions

Policy or Unit encashment


Regulatory Issues in Daily Operations

Money Laundering

Luxembourg confidentiality rules

Policy holder protection

Qualified fund administration

Audit rules

Regulatory reporting


Business Issues in Daily Operations

Identification of customer premium payments

Reconciliation of units in issue

Calculation of product charges

Valuation and Pricing mechanisms

Publication of unit prices

Asset classification and compliance rules

Premium data reconciliation. Commission payable accounts

Reporting of assets under management

Securities dealing and trading

Use of pooled investment vehicles

Corporate consolidation of policyholder data


Regulatory and Business Controls

Luxembourg banking law

Luxembourg insurance regulator

Tripartite agreements

Asset Compliance reporting

Audit Controls needed

Back Office Management

Unit Valuation, Pricing and Dealing

Corporate consolidation of Policyholder data

Todays Date:

Duration 1 day
Available as an in-house course. Details on request.

Investment Education PLC
45 Old Hall Road, Manchester M7 4JF, United Kingdom
Tel:+44 (0)161 832 3800
Email: mail@investmentEducation.net
Registered in England Number 2129160
VAT Registered Number GB 480 2112 85

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