LLQP Ethics & Professional Practice · Component 2.2 · 40% of the exam
'Forgery' or signing a client's name, even with permission, is:
- AA minor administrative issue that insurers overlook when the client confirms the signature was authorized
- BAcceptable if the client agrees in writing beforehand, since consent removes any element of deception
- CCommon practice in busy agencies, where clients rarely object to an agent signing routine forms on their behalf
- Prohibited; a serious breach leading to revocation and possible criminal charges, so the client's own signature is required
Correct answer: D) Prohibited; a serious breach leading to revocation and possible criminal charges, so the client's own signature is required
Regulators treat any signing for a client as forgery regardless of consent.
Why the other options are wrong
- ASigning for a client is a serious breach, not administrative.
- BConsent is no defence.
- CThe practice is prohibited however common it may seem.
Exam tip
Never sign for a client, with or without permission.
Common mistake
'Helping' a client by signing a change form they approved by phone.
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.