LLQP Accident & Sickness · Component 1.3 · 35% of the exam
A client's household could absorb a short disability but not the loss of the family home. The need this identifies is:
- AA critical illness policy, so the mortgage is repaid on diagnosis of a covered condition
- BA short waiting period, so benefits begin before the next mortgage payment falls due
- CAccidental death coverage, so the mortgage is cleared if the client dies in an accident
- A long benefit period, so income continues for as long as the disability lasts
Correct answer: D) A long benefit period, so income continues for as long as the disability lasts
A household that can bridge the first months but not the years needs the benefit to last, because it is the long claim rather than the short one that costs people their homes.
Why the other options are wrong
- ACritical illness pays only for listed conditions and only once.
- BA short waiting period addresses the months they can already manage.
- CAccidental death responds to death from one cause, not to a long disability.
Exam tip
Short savings means short waiting period; catastrophic risk means long benefit period.
Common mistake
Spending the budget on an early start date instead of a long benefit period.
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.