LLQP Accident & Sickness · Component 1.3 · 35% of the exam
A client's employer offers optional critical illness coverage at group rates. Compared with an individual policy, the group version usually:
- AConverts automatically to an individual policy with the same terms when employment ends
- BGuarantees the rate for life once the member has enrolled and passed the evidence requirement
- Ends with employment and may offer fewer conditions, but costs less while it lasts
- DOffers broader definitions and a longer list of covered conditions than individual contracts
Correct answer: C) Ends with employment and may offer fewer conditions, but costs less while it lasts
Group critical illness is inexpensive and easy to obtain, but it is a sponsor-controlled benefit that disappears with the job and is often narrower than an individual contract.
Why the other options are wrong
- AConversion rights for group critical illness are limited or absent.
- BGroup rates are repriced and are not guaranteed for life.
- DGroup condition lists are usually shorter, not longer.
Exam tip
Group critical illness is cheap, narrow and temporary.
Common mistake
Relying on group critical illness for a permanent need.
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.