Group Risk (GR1)

Group risk is the umbrella term for three company-sponsored employee benefits: group life insurance, group income protection and group critical illness. Group Risk (GR1) provides an overview of the group risk market. It describes the different types of employee benefits, including death-in-service benefits, healthcare and wellbeing benefits, and flexible benefit schemes.

Group risk professionals require a practical working knowledge of the main State benefits relevant to group risk benefits provided by employers. We examine the general principles and concepts behind this.

We also examine the roles of the Financial Conduct Authority (FCA), Financial Ombudsman Service (FOS) and Financial Services Compensation Scheme (FSCS).

We focus on the role of insurers, membership of policies and the evidence of health requirements of insurers. We then outline product features typically provided and examine product-specific taxation.

Finally, we look at the roles of an intermediary and a group risk insurer, then consider how reinsurers participate in the group risk sector. 

Building a successful career in personal finance

Group Risk (GR1) provides the essential knowledge and skills needed for a range of roles within the UK insurance, reinsurance and adviser markets.

Learning outcomes

At the end of this unit, candidates should be able to demonstrate a knowledge and understanding of the:

• nature and purpose of employee benefits
• main elements of the State benefits system in the UK
• legislative and regulatory context in which group risk operates
• principles of operation of group risk schemes
• group risk product features and the taxation of premiums and benefits
• role of an intermediary, insurer and the reinsurer.

Assessment

• 60 minute exam
• 50 multiple choice questions
• The nominal pass mark is 70% (for more information on nominal pass marks please see here)
• The 2023 pass rate for this unit was 56.5%

Course delivery

Instructions on accessing your course on RevisionMate will be sent to your registered email address. This is typically within two working days of your order being placed, but may be longer, particularly if payment is made by bank transfer or the unit is available as a pre-order.

Study material - editions available

2024-25 edition (applicable to exams sat 01 Sep 2024 to 31 Aug 2025)