LLQP Ethics & Professional Practice · Component 2.2 · 40% of the exam
Electronic signatures on insurance documents are:
- Generally permitted where the insurer's process and legislation allow, with identity and intent authenticated
- BOnly for group insurance enrolments, since individual contracts require a handwritten signature under the Insurance Act
- CAllowed by any email in which the client types their name, since an email address identifies the sender sufficiently
- DProhibited on insurance documents, since the Insurance Act requires wet-ink signatures on every application and change form
Correct answer: A) Generally permitted where the insurer's process and legislation allow, with identity and intent authenticated
E-signatures are standard but must be done through compliant systems.
Why the other options are wrong
- BE-signatures are available for individual as well as group business.
- CAuthentication through an approved platform is required.
- DElectronic signatures are permitted on approved platforms.
Exam tip
E-signatures: approved platform, authenticated, secure.
Common mistake
Pasting a scanned signature onto a form.
What this tests
CISRO competency component 2.2 — Integrate into practice the rules governing the activities of life insurance agents — which is weighted at 40% of the Ethics & Professional Practice module. Written against the published curriculum.
More from component 2
- A prospective client wants to confirm that an agent is properly licensed before meeting him. She should:
- A dual-licensed agent's mutual fund business is reviewed following a client complaint. The review will be conducted by:
- Assuris coverage applies to:
- OLHI's services are available to:
- Complaints about an agent's conduct (as opposed to an insurer's claim decision) should be directed to:
- The best summary of an agent's ethical obligations is to:
Practice the whole Ethics & Professional Practice module
Timed sets weighted like the exam, and review of every question you miss. Free to start.