LLQP Life Insurance · Component 2.2 · 30% of the exam
An accidental death rider commonly requires that death occur:
- AIn Canada, since the rider does not cover accidents that occur while the insured is travelling outside the country
- BAt any time after the accident, provided the death certificate lists the accident as a contributing cause
- COnly at the scene of the accident, since a death in hospital afterward is treated as a death from medical causes
- Within a stated period after the accident and as a direct result of it, independent of illness
Correct answer: D) Within a stated period after the accident and as a direct result of it, independent of illness
The rider defines accidental death tightly: causation and timing. Deaths from illness triggered by an accident, or long after it, may fall outside. The agent should explain the definition so the family is not surprised.
Why the other options are wrong
- ANo geographic limit of that kind is standard.
- BTime limits apply; death long after the accident may fall outside the rider.
- CDeath need not be immediate, only within the period.
Exam tip
AD rider = accidental cause + within the stated period + independent of illness.
Common mistake
Assuming any death following an accident triggers the rider.
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.