LLQP Accident & Sickness · Component 4.1 · 10% of the exam
A client wants to exercise the future purchase option on her disability policy. The agent should confirm:
- AThat the insurer has approved the increase before the client's option date arrives
- That the option date is current and that her income supports the additional benefit
- CThat she is in good health, since medical evidence is required to exercise the option
- DThat she has made no claim, since a prior claim cancels every remaining option
Correct answer: B) That the option date is current and that her income supports the additional benefit
The option waives medical evidence but not financial evidence, and it can only be exercised on the dates the rider specifies, so both have to be checked before the request goes in.
Why the other options are wrong
- AApproval follows the request; it does not precede the option date.
- CWaiving medical evidence is the whole purpose of the option.
- DA prior claim does not automatically void the remaining options.
Exam tip
Option dates and income, yes; medical evidence, no.
Common mistake
Letting an option date pass without contacting the client.
What this tests
CISRO competency component 4.1 — Provide customer service during the validity period of the coverage — which is weighted at 10% of the Accident & Sickness module. Written against the published curriculum.
More from component 4
- The agent's role in the claims process is to:
- A client with a non-cancellable DI policy stops paying premiums after a dispute with the insurer about a claim. The agent should warn that:
- When a client moves to another province, the agent should:
- A client asks to reduce the waiting period on his in-force disability policy. The agent should explain that the change:
- A client's disability policy lapsed six weeks ago for non-payment. The agent should:
- A client on claim asks whether she must keep paying premiums. The accurate answer depends on:
Practice the whole Accident & Sickness module
Timed sets weighted like the exam, and review of every question you miss. Free to start.