LLQP Accident & Sickness · Component 2.2 · 30% of the exam
A 'guaranteed insurability' or 'FPO' rider is most valuable to:
- AA client whose income is declining as the business winds down toward retirement
- BA client who is already insured at the insurer's maximum monthly benefit for the occupation
- A young professional or business owner early in a career whose income will grow
- DA retiree who wants to protect a pension against the cost of a future disability
Correct answer: C) A young professional or business owner early in a career whose income will grow
FPO's value is in future increases without medical evidence. It is wasted on clients at the top of their earnings or already at insurer maximums.
Why the other options are wrong
- ADeclining income means no increase can be exercised.
- BIncreases are impossible at the maximum.
- DRetirees have no earned income to insure.
Exam tip
FPO suits rising-income clients; skip it when income or coverage is capped.
Common mistake
Adding FPO to every policy regardless of the client's trajectory.
What this tests
CISRO competency component 2.2 — 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 group plan's 'eligibility waiting period' (probationary period) is:
- A CI policy that is 'convertible' allows the insured to:
Practice the whole Accident & Sickness module
Timed sets weighted like the exam, and review of every question you miss. Free to start.