LLQP Life Insurance · Component 1.2 · 35% of the exam
A client who dies from a workplace accident may leave survivors entitled to:
- AThe employer's full payroll for the year, since the employer is liable for a death that occurs at work
- BDouble CPP benefits, since a workplace death triggers both the regular survivor pension and a workplace supplement
- Workers' compensation survivor benefits, which vary by province and may include a lump sum and periodic payments
- DNothing from workers' compensation, since the scheme covers injuries to living workers rather than deaths
Correct answer: C) Workers' compensation survivor benefits, which vary by province and may include a lump sum and periodic payments
Provincial workers' compensation schemes pay survivor benefits when death is work-related. Because they apply only to occupational deaths, the agent counts them as a partial resource for clients in higher-risk occupations, not as general coverage.
Why the other options are wrong
- ABenefits are set by the provincial scheme, not by the employer's payroll.
- BWorkers' compensation does not double CPP benefits.
- DWorkers' compensation does pay survivor benefits for work-related deaths.
Exam tip
Workers' compensation survivor benefits apply only to occupational deaths — a partial resource for clients in risky jobs.
Common mistake
Counting workers' compensation as general death coverage.
What this tests
CISRO competency component 1.2 — Assess the client's needs and situation — which is weighted at 35% of the Life Insurance module. Written against the published curriculum.
More from component 1
- A client's existing policies were all sold by another agent who has left the business. The reviewing agent should:
- A client supports an adult child with a permanent disability who will never be self-sufficient. In the needs analysis this is:
- A self-employed client's income fluctuates widely year to year. When determining the income to replace, the agent should:
- A 58-year-old client plans to retire at 65 and has a pension that will pay a survivor benefit. How does time to retirement affect the life insurance need?
- Which of the following is a capital expense arising at death, rather than an ongoing income need?
- A client is the sole income earner in a household with a stay-at-home spouse and two young children. The greatest risk that life insurance on the client addresses is:
Practice the whole Life Insurance module
Timed sets weighted like the exam, and review of every question you miss. Free to start.