LLQP Ethics & Professional Practice · Component 1.1 · 60% of the exam
An agent realizes near the end of the licence period that he has completed no continuing education. The likely consequence is that:
- Athe requirement is waived if the agent wrote no new business during that period
- the licence cannot be renewed until the required credits have been completed
- Ccredits may be carried backward from the following period to cover the shortfall
- Dthe insurer completes the credits on the agent's behalf as part of its supervision
Correct answer: B) the licence cannot be renewed until the required credits have been completed
Continuing education is a condition of holding the licence. Renewal is refused where the credits are missing, and a false declaration that they were completed is itself serious misconduct.
Why the other options are wrong
- AThe requirement attaches to the licence, not to the volume of business written.
- CCredits are counted in the period in which they are earned.
- DEducation credits are personal and cannot be completed by anyone else.
Exam tip
Continuing education is a licence condition, regardless of business written.
Common mistake
Declaring credits complete in the hope of finishing them afterward.
What this tests
CISRO competency component 1.1 — 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.