LLQP Ethics & Professional Practice · Component 2.2 · 40% of the exam
Unlicensed staff in an agent's office may:
- ASign forms for the agent when the agent is unavailable, since the agent's authority extends to the agent's staff
- BRecommend products to clients who call with simple needs, so that the agent's time is reserved for complex cases
- CTake applications from clients who have already decided what they want, leaving the agent to review and sign later
- Perform administrative and clerical tasks, but not solicit, advise, explain products or take applications
Correct answer: D) Perform administrative and clerical tasks, but not solicit, advise, explain products or take applications
The line between administration and licensed activity must be respected.
Why the other options are wrong
- AStaff may never sign for the agent.
- BRecommending products is licensed activity.
- CTaking applications is licensed activity.
Exam tip
Unlicensed staff: admin only.
Common mistake
Having an assistant 'walk the client through' a seg fund application.
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.