LLQP Life Insurance · Component 2.2 · 30% of the exam
A client with a family history of early heart disease asks which rider best protects her ability to obtain more life insurance later. The agent should point to:
- AAccidental death, since it pays an additional benefit if she dies suddenly from a cardiac event
- BPaid-up additions, since they grow the death benefit each year without any evidence of insurability
- CWaiver of premium, since it keeps the policy in force if heart disease leaves her unable to work
- Guaranteed insurability benefit, which lets her buy more coverage later without evidence
Correct answer: D) Guaranteed insurability benefit, which lets her buy more coverage later without evidence
Her risk is a future decline in insurability. GIB locks in the right to buy more coverage at standard rates regardless of health at the option dates. The other riders address different risks.
Why the other options are wrong
- AAccidental death does nothing for future insurability.
- BPaid-up additions grow values; they do not guarantee future purchases.
- CWaiver of premium protects the policy during disability, not the ability to buy more.
Exam tip
Match the rider to the risk: fear of future uninsurability → guaranteed insurability benefit.
Common mistake
Recommending a rider that addresses a different risk than the one the client raised.
What this tests
CISRO competency component 2.2 — Analyze the available products that meet the client's needs — which is weighted at 30% of the Life Insurance module. Written against the published curriculum.
More from component 2
- A client has a need lasting about twenty years and compares a ten-year and a twenty-year term policy. The main point to explain is that:
- A client exercises the conversion privilege on his term policy. The permanent premium will be based on:
- A client notices that a small policy costs proportionately more per unit of coverage than a larger one. The explanation is that:
- A client wants to pay monthly rather than annually. The agent should explain that monthly payment:
- A client asks why dividends from her participating policy are not taxed like interest from a bank. The reason is that a dividend is:
- A universal life policyholder is choosing among the investment options inside her policy. She should understand that:
Practice the whole Life Insurance module
Timed sets weighted like the exam, and review of every question you miss. Free to start.