Online Access Free LLQP Practice Test

Samir applied for a life insurance policy 18 months ago. At the time of the application, he was employed as an accountant. Samir quit his accounting job 6 months ago to become a professional scuba diver.
Which of the following statements about Samir's life insurance policy is CORRECT?

• A.Samir must inform his insurer about his change of occupation within 6 months of the change.
• B.Samir is not required to declare his change in occupation because the policy is less than 2 years old.
• C.Samir has no obligation to notify the insurer of his change of occupation regardless of how old the policy is.
• D.Regardless of whether Samir informs his insurer of his change in occupation, if he dies while scuba diving, he would not be covered.

Cecilia, a licensed life insurance agent, delivers a life insurance policy to her client Tony, a newly landed immigrant. Tony would like to pay the policy using the pre-authorized monthly payment method. However, he does not have a bank account in Canada yet and doubts he could find the time to open one in the next few days. Cecilia offers to open a savings account for him, but Tony is unsure whether she is licensed to do that.
What should Cecilia tell Tony to reassure him that she can open a savings account on his behalf?

• A.That she can open a savings account for him with no additional license so long as the initial deposit is less than $100,000.
• B.That she can open a savings account for him with no additional license because she delivered the life insurance policy to him beforehand.
• C.That no license is required to act as a deposit broker.
• D.That licensed life insurance agents are authorized to sell bank products.

Alana, Meaghan, and Beatrice are equal shareholders of Advanced Tech Inc. They each own 100 shares of the company. Each share is currently worth $5,000. They recently signed a cross-purchase buy-sell agreement that is funded by life insurance. What will happen under this agreement if Alanadies today?

• A.Meaghan and Beatrice would each still own 100 shares of the company.
• B.Alana's estate would receive a total of $500,000.
• C.Each share would now be worth $7,500.
• D.There would now be 200 outstanding shares of the company.

Alec is sure he sent his insurer his annual life insurance premium payment. The insurer did not receive it, however. The insurer then sent Alec a notice of non-payment of premiums, but Alec had moved in the meantime. Therefore, he never got the notice, even though he had emailed hisfinancial security advisor, Olivier, to inform him of his change of address. Unfortunately, Olivier was on a leave of absence and no one else in the firm took over the file. As a result, the policy lapsed. Alec sent Olivier's firm several emails to complain, but no one responded. Which organization can Alec turn to?

• A.The Canadian Life and Health Insurance Association
• B.The Chambre de la securite financiere
• C.Assuris
• D.The Autorite des marches financiers

Mireille and Mathieu, who have been married for 15 years, have two children aged 9 and 12. Mireille chose to work part-time and earns an income of $20,000. She has not contributed to an RRSP and has $30,000 of unused contribution room. Mathieu earns $80,000. He has $40,000 invested in RRSPs and $80,000 of unused contribution room.
How can they save on income tax?

• A.Mireille could contribute to an RRSP in Mathieu's name up to the current maximum of $30,000.
• B.Mathieu could contribute to an RRSP in Mireille's name up to the current maximum of $80,000.
• C.Mathieu could contribute to an RRSP in Mireille's name up to the current maximum of $30,000.
• D.Mireille could contribute to an RRSP in Mathieu's name up to the current maximum of $80,000.