LLQP Accident & Sickness · Component 1.3 · 35% of the exam
A client asks whether the financial impact of a serious illness on her family is really different from disability. The agent should give an example such as:
- AA back injury: DI pays a lump sum for the surgery while CI pays a monthly income during recovery
- BThere is no real difference, since both products pay whenever the client is unable to work
- A heart attack with a four-month recovery: DI pays little after the wait, CI pays the lump sum
- DA cancer diagnosis: CI pays monthly for the treatment period while DI pays nothing at all
Correct answer: C) A heart attack with a four-month recovery: DI pays little after the wait, CI pays the lump sum
Concrete scenarios show the products' different shapes. A short recovery yields little from DI but full CI payment, illustrating the family-impact need CI addresses.
Why the other options are wrong
- ADI pays monthly benefits; CI pays the lump sum.
- BThe products respond to different facts and pay differently.
- DCritical illness pays a single lump sum on diagnosis, not a monthly income.
Exam tip
Use scenarios: short serious illness → CI pays, DI barely does.
Common mistake
Explaining products abstractly rather than through the client's scenario.
What this tests
CISRO competency component 1.3 — Assess the client's needs and situation — which is weighted at 35% of the Accident & Sickness module. Written against the published curriculum.
More from component 1
- The single most important fact for sizing a client's disability income need is:
- A client's beneficiaries for assets are listed in the fact-finding. Why does this matter for A&S planning?
- A client asks why the agent wants to know how assets are owned (jointly or individually). In the A&S context the answer is:
- A client mentions a back injury five years ago that fully resolved. The agent should:
- Which element of a client's situation most affects the definition of disability that should be recommended?
- Which of the following health facts is most relevant to a client's disability insurance situation?
Practice the whole Accident & Sickness module
Timed sets weighted like the exam, and review of every question you miss. Free to start.