LLQP Accident & Sickness · Component 1.3 · 35% of the exam
A client whose parents both needed years of care asks whether LTC insurance is relevant at age 50. The agent should say:
- AWait until 75, when the likely cost and setting of care will be much clearer
- BLTC is only for the wealthy, since everyone else relies on provincial facilities
- Family history and care costs make it relevant; buying now secures insurability
- DProvincial programs cover long-term care in full, so private coverage is unnecessary
Correct answer: C) Family history and care costs make it relevant; buying now secures insurability
LTC insurability declines with age and health. The need is real for clients who have seen the cost of care in their families. Premium and insurability favour buying earlier.
Why the other options are wrong
- ABy 75 health may prevent issue and premiums are far higher.
- BThe wealthy can self-fund; middle-income clients need LTC most.
- DProvincial care is limited and often means-tested.
Exam tip
LTC is bought in the 50s and 60s while insurable; the very wealthy self-fund.
Common mistake
Deferring LTC discussion until the client is elderly.
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.