LLQP Accident & Sickness · Component 2.1 · 30% of the exam
A group plan's 'eligibility waiting period' (probationary period) is:
- The period a new employee must work before joining, which limits cost from short-tenure staff
- BThe period after a missed premium during which the sponsor may still pay without the plan lapsing
- CThe period after a critical illness diagnosis that a member must survive before a benefit is paid
- DThe period after a disability begins during which no benefits are payable to the member
Correct answer: A) The period a new employee must work before joining, which limits cost from short-tenure staff
Eligibility waiting periods are a plan-design feature separate from the benefit elimination period. Typical periods are one to three months.
Why the other options are wrong
- BThat is the grace period, which concerns late premiums.
- CThat is the survival period, a critical illness term.
- DThat is the disability waiting period, which starts at disability.
Exam tip
Eligibility waiting period (to join) ≠elimination period (to receive benefits).
Common mistake
Mixing up the two waiting periods in group plans.
What this tests
CISRO competency component 2.1 — Analyze the available products that meet the client's needs — which is weighted at 30% of the Accident & Sickness module. Written against the published curriculum.
More from component 2
- A group benefits booklet lists AD&D coverage alongside life and LTD. The AD&D benefit pays:
- A hospital indemnity (hospital cash) policy pays:
- Employment Insurance sickness benefits are available to:
- Which government program coordinates with an individual DI policy through a possible offset AND also affects the definition of insurable income?
- A CI policy that is 'convertible' allows the insured to:
- A 'retirement protection' rider on a DI policy:
Practice the whole Accident & Sickness module
Timed sets weighted like the exam, and review of every question you miss. Free to start.