Practice Free LLQP Exam Online Questions
Justin purchased a single life annuity contract with no guaranteed period and no survivor benefit. He is now hospitalized.
If Justin passes away, who could make a claim on behalf of his estate regarding the annuity?
- A . Only the executor of Justin’s estate could make the claim.
- B . Only Justin’s spouse, as the contingent annuitant, could make the claim.
- C . Any person with a power of attorney could make the claim.
- D . A death claim could not be made for the annuity Justin purchased.
Caleb meets with Miles, his insurance agent, to invest for his retirement. Caleb tells Miles that he will not need his funds for the next 25 years, he is comfortable with market fluctuations, and he would like a fund that mimics the S&P/TSX Composite index.
Which of the following funds will best suit Caleb’s needs?
- A . Equity fund
- B . Target date fund
- C . Dividend fund
- D . Index fund
Garry, a 55-year-old self-employed individual with no pension or RRSP savings, wants to make his money work for him over the next 10 years before retirement.
Which product would be suitable?
- A . A variable income accrual annuity with deferred payment in 10 years
- B . A 10-year prescribed payout annuity
- C . An accumulation annuity with deferred payment in 10 years
- D . A 10-year immediate term accumulation annuity
After working nine years as an insurance agent, Jamie decides to make a change in her life and go back to school. A colleague she used to work with on personal health insurance congratulates her and tells her that he will pay her a flat fee for every health insurance referral she makes to him, as long as the referral results in a sale.
What could be said about this referral arrangement?
- A . It is allowed, because Jamie used to be a licensed agent herself.
- B . It is allowed, provided the persons being referred are aware of the arrangement.
- C . It is not allowed, because Jamie’s earnings are contingent upon the agent’s sales.
- D . It is not allowed, because Jamie earns a flat fee for each prospect referred.
Melissa, a La Tranquillité representative, is meeting with a client who tells her about something that happened to one of her friends. While she was taking part in an outdoor weekend at Mont-Tremblant Park, a forest fire broke out and one of the participants was never found. The client is about to take out life insurance with Melissa. She asks Melissa what would happen to her insurance capital in such a situation.
What can Melissa tell the client?
- A . The insurer would pay the insurance face amount within 30 days of the claim
- B . The contract premiums would be reimbursed to the beneficiary because the contract would be null and void
- C . It would be impossible to pay the insurance face amount if the victim’s body is not found
- D . The beneficiary could receive the insurance face amount after a certain number of years and after receiving the judgment for the declaration of death
Elizabeth is a seasoned insurance agent. She meets with Harold, a new agent, to help him better understand the industry and the processes that they must follow. Elizabeth tells Harold about a body that administers the regulatory system applicable to insurance intermediaries.
Which of the following is Elizabeth referring to?
- A . OmbudService for Life and Health Insurance (OLHI)
- B . Canadian Council of Insurance Regulators (CCIR)
- C . Office of the Privacy Commissioner of Canada
- D . Canadian Insurance Services Regulatory Organizations (CISRO)
Hussein wants to purchase a segregated fund. He has been following the news and believes the pharmaceutical sector will take off soon, and he wants to purchase a fund that will capitalize on his market view. He understands market fluctuations and is comfortable with the level of risk involved because he would only need to access these funds in 20 years.
Which of the following would be the most appropriate fund for Hussein?
- A . Bond fund
- B . Specialty fund
- C . Balanced fund
- D . Target date fund
Alexandre, a financial security advisor, recently left FinCode Inc. because of an unresolved dispute with the company. He is continuing his career as an independent advisor. This week, he has an appointment with a client who tells him that he met with another FinCode Inc. employee. However, that employee has a disciplinary record at the CSF for fraudulently copying a signature on a form. Since the client does not work in insurance and the information is public knowledge, Alexandre provides him with some clarification regarding the other advisor’s case.
How can Alexandre encourage the client to do business with him without denigrating his competitor?
- A . By telling the client to always check an advisor’s record with the CSF
- B . By informing the client of his recent departure from FinCode Inc. owing to an unresolved dispute
- C . By emphasizing his unique approach that sets him apart from his competitors
- D . By talking about his experience with the other advisor when they worked for the same firm
Everett is an insurance of persons representative who works exclusively for Moon Life Insurance. He wants to leave the company and become an independent representative. He knows that before he branches out on his own, he needs to ensure he has sufficient liability insurance.
Which of the following statements about his professional liability insurance is CORRECT?
- A . His liability insurance must have coverage of not less than $1,500,000 per claim.
- B . If a contract has a deductible, it may not exceed $20,000.
- C . This insurance covers gross faults committed by an insurance representative.
- D . Professional liability insurance covers fraud or misappropriation.
Mauro works full-time for a small company that offers no benefits. He earns $40,000 a year. He has an individual disability insurance policy that would provide him with $2,000 a month, for a maximum of two years, after a waiting period of four months. This policy includes a partial and residual disability rider. Injured in an accident, Mauro is completely unable to work for nine months. After that, Mauro’s doctor advises him to start working two days a week for the next three months, after which Mauro should be able to resume working full-time.
What monthly benefit will Mauro receive during the period he works part-time?
- A . $1,600
- B . $1,200
- C . $1,000
- D . $800