LLQP Accident & Sickness · Component 1.2 · 35% of the exam
A client's individual DI policy excludes disabilities arising from a pre-existing back condition. The review should:
- ATreat the exclusion as immaterial because back claims are rare
- BAssume the exclusion expired after two years under the incontestability rule
- Record the exclusion, ask whether it can be reviewed for removal, and note the gap
- DRecommend cancelling the policy and applying elsewhere without the exclusion, since another insurer may not impose it
Correct answer: C) Record the exclusion, ask whether it can be reviewed for removal, and note the gap
Exclusion riders can sometimes be removed after a period without symptoms or treatment. The curriculum lists review or removal of exclusions based on policy timelines.
Why the other options are wrong
- ABack conditions are among the most common causes of disability; the exclusion is a real gap.
- BExclusion riders do not expire; incontestability concerns misrepresentation.
- DCancelling loses the rest of the coverage, and a new insurer would likely exclude the same condition.
Exam tip
Exclusions can be reviewed for removal; ask the insurer once the timeline allows.
Common mistake
Leaving a removable exclusion in place for years.
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.