LLQP Accident & Sickness · Component 1.1 · 35% of the exam
A client has three months of expenses in savings. In a disability needs analysis this affects:
- AThe benefit amount the insurer will issue, since savings offset lost income
- BThe occupational class, since clients with savings are judged more financially stable
- The waiting period the client can afford, since savings bridge the gap
- DThe benefit period, since savings shorten how long benefits will be needed
Correct answer: C) The waiting period the client can afford, since savings bridge the gap
The curriculum lists the amount of savings available for emergencies. Emergency savings determine how long the client can self-fund before benefits begin, which is the waiting-period decision.
Why the other options are wrong
- ASavings are not income and do not reduce the issuable benefit.
- BOccupational class comes from duties and hazards, not from savings.
- DThe benefit period covers how long a disability could last; savings cannot shorten that.
Exam tip
Emergency savings → affordable waiting period → premium saving.
Common mistake
Recommending the shortest waiting period regardless of savings.
What this tests
CISRO competency component 1.1 — 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.