LLQP Ethics & Professional Practice · Component 1.6 · 60% of the exam
A claim under a group life certificate is made by:
- The beneficiary named by the member, with the employer confirming coverage; proceeds go to the beneficiary
- BThe union representing the member, since group coverage is a benefit negotiated under the collective agreement
- CThe employer for its own benefit, since the employer paid the premiums and holds the master contract
- DThe insurer automatically on learning of the death, since the employer's payroll records identify the beneficiary and the amount
Correct answer: A) The beneficiary named by the member, with the employer confirming coverage; proceeds go to the beneficiary
Group claims require the sponsor's confirmation of coverage status but the beneficiary is the claimant.
Why the other options are wrong
- BA union does not claim a member's group death benefit.
- CThe employer confirms coverage; it does not benefit.
- DA claim must be made; the insurer does not act automatically.
Exam tip
Group death claim: beneficiary claims; employer confirms eligibility.
Common mistake
Failing to check whether the member's coverage was in force (for example, after termination).
What this tests
CISRO competency component 1.6 — Integrate into practice the legal aspects of insurance and annuity contracts — which is weighted at 60% of the Ethics & Professional Practice module. Written against the published curriculum.
More from component 1
- An 'assignee' of a life insurance policy is:
- A corporation as policyowner and beneficiary of a policy on a key employee:
- A 'trustee' named to receive proceeds on behalf of a beneficiary:
- The 'automatic premium loan' (APL) provision:
- A life insurance contract 'matures' when:
- The 'assignment' provision typically states that:
Practice the whole Ethics & Professional Practice module
Timed sets weighted like the exam, and review of every question you miss. Free to start.