LLQP Accident & Sickness · Component 1.2 · 35% of the exam
A client's existing DI benefit period is two years. The review should flag that:
- AThe waiting period is too short for a policy with such a limited benefit period
- BThe policy is voidable because two years is below the statutory minimum
- CTwo years is adequate because most disabilities resolve within a year
- A long-term disability would leave him without income after two years
Correct answer: D) A long-term disability would leave him without income after two years
Short benefit periods cover common short disabilities but leave the catastrophic case unfunded. The curriculum lists benefit periods among contract provisions to assess.
Why the other options are wrong
- AThe waiting period is a separate design choice; the benefit period is the gap.
- BThere is no statutory minimum benefit period; the policy is valid but limited.
- CCommon claims are short, but the catastrophic case is what insurance is for.
Exam tip
Benefit period to 65 addresses the catastrophic case; short periods leave it open.
Common mistake
Focusing on the waiting period and ignoring the benefit period.
What this tests
CISRO competency component 1.2 — 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.