LLQP Ethics & Professional Practice · Component 1.1 · 60% of the exam
The legal framework requires that insurance policies delivered in a province be:
- Compliant with the Act's required contents and filed or acceptable to the regulator where required
- BApproved by the agent, who signs the policy to confirm that it matches the application
- CHandwritten by the insurer on the statutory form prescribed for the class of insurance
- DIn any language the insurer chooses, since the client's understanding is the agent's responsibility
Correct answer: A) Compliant with the Act's required contents and filed or acceptable to the regulator where required
Policy content requirements ensure clients receive the information the Act mandates.
Why the other options are wrong
- BAgents do not approve policy forms.
- CPrinted policies meeting content rules are standard.
- DLanguage requirements may apply.
Exam tip
Policy must contain the Act's required content.
Common mistake
Delivering a policy without the statutory provisions attached.
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.