LLQP Accident & Sickness · Component 2.2 · 30% of the exam
A 'return of premium on death' rider on an LTC policy:
- ADoubles the daily care benefit if the insured dies within the first year of an LTC claim
- Refunds premiums paid, less benefits received, if the insured dies, often only before a stated age
- CIs included at no cost because the insurer keeps the premiums of insureds who never make a claim
- DPays the remaining pool of LTC benefits to the insured's estate as a lump sum at death
Correct answer: B) Refunds premiums paid, less benefits received, if the insured dies, often only before a stated age
Like CI ROP on death, it answers the 'wasted premium' objection. Restrictions by age are common.
Why the other options are wrong
- AThe rider refunds premiums paid; it does not increase the care benefit.
- CReturn-of-premium riders always carry an additional premium.
- DLTC benefits are for care while living.
Exam tip
LTC ROP on death: refund net of benefits, often age-limited.
Common mistake
Overlooking the age limit on the refund.
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.