LLQP Life Insurance · Component 4.2 · 10% of the exam
A claimant has trouble obtaining a death certificate because the insured disappeared in a plane crash at sea and no body was recovered. The claim process will likely require:
- AThe agent's statement only, since the agent can confirm that the insured was on the flight and has not been heard from
- Alternative proof of death, such as official accident reports and, if needed, a court declaration of presumed death
- CNothing, since the claim is denied when no body is recovered and no death certificate can be issued
- DWaiting seven years automatically before any claim can be considered, whatever the circumstances of the disappearance
Correct answer: B) Alternative proof of death, such as official accident reports and, if needed, a court declaration of presumed death
Insurers accept alternative evidence where death is certain but no certificate exists. Where death is merely presumed, courts can declare it. The agent helps the claimant understand what the insurer needs.
Why the other options are wrong
- AThe agent's statement is not proof of death.
- CClaims are not denied for lack of a body when death can be established.
- DWaiting periods depend on circumstances and law, not an automatic seven years.
Exam tip
No certificate: official reports, court declaration. The agent guides the claimant.
Common mistake
Telling a family a claim is impossible without a death certificate.
What this tests
CISRO competency component 4.2 — Provide customer service during the validity period of the coverage — which is weighted at 10% of the Life Insurance module. Written against the published curriculum.
More from component 4
- After a policy is reinstated, the contestability period:
- A revocable beneficiary designation is changed by:
- A client asks the agent to hold the beneficiary change form 'until next week' and dies in the meantime. The consequence is that:
- A client wants to reduce the face amount of her policy because her needs have fallen. The agent should note that:
- A client is unable to pay premiums temporarily on a whole life policy. Before letting it lapse, the agent should suggest:
- A client's term policy is being replaced with a new one from another insurer because it is cheaper and he remains healthy. To protect the client, the agent should ensure that:
Practice the whole Life Insurance module
Timed sets weighted like the exam, and review of every question you miss. Free to start.