Countdown to a new Life License Qualification Program (LLQP)

There are only 7 months left until the end of the year and changes are happening to the LLQP Program. If you know anyone who is interested in this license, you have until December 2015 to be licensed through the existing program, with one provincial exam.

When the new program launches in January 2016, you will be required to pass four separate provincial exams. Between now and the end of the year Foran has 7 LLQP seminars scheduled in Toronto and 2 in Vancouver. See dates here: http://www.foranfinancial.com/course_links/Insurance.html

So sign up early!

Full House for LLQP in Vancouver

This month for the Foran LLQP Seminar in Vancouver, we have reached the maximum capacity of students. We also had a number of calls pouring in with those trying to get a spot (wow). For everyone that could not get into the October seminar there is no need to worry! If it applies to you, Foran will be running another LLQP Seminar in December from the 1-4.

The course will be led by Doug Planche, a premier insurance instructor in Canada who has extensive experience both in the industry and teaching students.

For more information on our LLQP seminar, look at our “breaking it down” post and call or email us with any questions,

So sign up early!

Upcoming LLQP in Vancouver

Anyone in the Vancouver region preparing to take the LLQP should be aware that Foran is running a seminar at Simon Fraser University downtown August 12-15. The course will be led by Doug Planche, a premier insurance instructor in Canada who has extensive experience both in the industry and teaching students.

For more information on our LLQP seminar, look at our “breaking it down” post and call or email us with any questions

Registering for the LLQP: Online or Paper Based?

Anyone registering with Advocis for the LLQP this month has probably been asked the question “would you prefer to take the paper based or online course?”

You might be wondering what that means? What’s the difference? What will be better for you?

Let me try to help you out, and please, if you have any questions leave them in the comments and I will get back to you as soon as possible.

Okay, I am going to come clean right now, this post is not going to debate the different advantages to online or paper, I strongly recommend that you get started with the online course. It is an excellent, user friendly product, and adds flexibility to your studying and certification exam.

 

LLQP Online Course:

Advocis online LLQP was released on July 8. 2013. Advocis has built in a transition period from July 8- August 12, in which students can chose whether they would prefer to do the paper based course  or online course. After August 13, all students will be enrolling in the online LLQP course.

The online course includes all of the same material that was in the books, including module quizzes and case studies, but is now in a more accessible, integrated, online format. It is optimized to be compatible with any type of screen, so you can study for you insurance licensing on your computer, tablet, phone, etc.

If you feel like you can study better from a book, you can still order a hard copy for $50 (plus tax and shipping). The book will contain only the content, ie. all of the modules, but will not contain the quizzes and case studies. That’s okay, because you still have access to the same online platform and can practice your quizzes there.

Taking the online quizzes is going to be good practice, not only to test yourself, but to get used to the online test taking process – this is the same format in which you will take you Advocis certification exam.

I understand that not everyone feels comfortable on computers, but have no fear; this course offers you ample opportunity to practice taking online quizzes before you have to take the certification.

 

LLQP Certification Exams:

The online certification exam is divided into two sessions of 2 hours and 70 multiple choice questions each. The paper based exam was originally one 4 hour session with 140 multiple choice questions.  The online cert can be taken at your convenience, without a proctor.

You will receive an aggregate score within an hour of completing your second certification exam.

I think the flexibility in taking the certification and the immediacy in the results are in and of themselves enough reason to get the online course. Before, you would have to call Advocis to schedule an exam, show up early in the morning or in the evening (depending on the location), show various forms of ID, familiarize yourself with the location, write for 4 hours, then wait a week to get the results.

This online business is so easy!

 

Again, this is only a temporary problem. Come August 13, everyone will be taking their exam online. But I know there are some of you who are currently registering and wondering what it’s all about. I hope this helps!

 

 

LLQP Exam Prep Questions

Questions

 

1. Janice, Victor and Barry are owners of a small computer supply company. Janice is 50 years old and owns 50% of the business, Victor is 35 years old and has a 30% stake in the business and Barry owns the remaining shares or 20% of the shares. They have two full time employees. Everyone in the company works hard. The three shareholders efforts are essential to the company’s success. Recently Janice came down with a virus that would not go away. She was off work for three weeks and during that time Victor and Barry did their best to cover her by doing her work plus their own. Unfortunately, they were spread too thin and the company lost some valuable business. Based on the information given above what type of insurance is the most critical need that they should address?

 

a)            Business Overhead Expense Insurance

b)            Disability Insurance

c)            Life Insurance

d)            Extended term insurance

 

2. You have invested a lump sum amount of $20,000 (2,000 units at $10.00 each) into a segregated fund. The death and maturity guarantee is 80%. It is a proportional guarantee. Today the FMV is $ 28,000 (2,000 units at $14.00 each) and you redeem $7,000 or 500 units. What is true about the guarantee after the surrender?

 

a)            Guarantee reduces 25% , $16,000 to $12,000

b)            Guarantee reduces 25%, $20,000 to $16,000

c)            Guarantee reduces 35%, $16,000 to $10,400

d)            Guarantee reduces 35% , $20,000 to $14,400

 

 

Answers

 

 

1.  b) Disability Insurance

Reference: Module 12

 

2. a) Guarantee reduces 25% ,$16,000 to $12,000.

Reference: Module 9

LLQP Exam Prep Questions

Questions

 

1.  Happy and Sad have lived together for 8 years and been married for 5 of those 8 years. Happy has made CPP contributions for 40 years. This year Happy received $1,000 of pension income. How much will each approximately receive after income splitting?

 

a)            Happy $960…;…Sad $40

b)            Happy $938…;…Sad $62

c)            Happy $900…;…Sad $100

d)            Happy $500…;…Sad $500

 

 

2. In a group employee disability plan what does two years (2) years “own occupation”  mean?

 

I.             First two years, you are defined as disabled if you cannot perform any duties based on your education, training and experience.

II.            After two years, you cannot do your regular duties.

III.           First two years, you are defined as disabled if you cannot perform your regular duties and you are not engaged in any other occupation.

IV.          After two years, you cannot perform the duties of any occupation based on your education, training and experience.

 

a)            1 and 2 only

b)            2 and 3 only

c)            3 and 4 only

d)            1 and 4 only

 

Answers

 

1.            c) Happy $900…;…Sad $100

Rationale:                             = 20%

$1000 x 20%= $200 Split 50/50 between Happy and Sad

$1000.00-$200.00 = $800.00 must remain with Happy

Happy                                   Sad

$800                                       $100

$100

$900                                       $100

 

2.            c) 3 and 4 only

Reference: Module 3

LLQP – Insurance Mini Quiz

Questions

 

1. _____?_____ refers to a person that dies without a valid will.

a)            Poor

b)            Probate

c)            Intestate

d)            Uncovered

 

2. Who can change the designation of an irrevocable beneficiary?

a)            The contract owner

b)            The annuitant

c)            The courts

d)            The contract owner with written permission of the irrevocable beneficiary.

 

3. Is the following statement true or false?

If a person leaves a group insurance plan with a conversion privilege, he/she may convert to a

personal insurance policy within a specified time period.

a)            True – only with providing evidence of insurability.

b)            True – without providing evidence of insurability.

c)            False

d)            False – only if the person had been a member of the plan for 2 years or more making the

policy incontestable.

 

4. What is “deferred” in a deferred RRSP annuity contract?

a)            Income

b)            Taxation

c)            Benefits

d)            All of the above

 

 

Answers

 

1. c) Intestate

2. d) The contract owner with written permission from the beneficiary.

3. b) True – without providing evidence of insurability

4. d) All of the above

LLQP – Insurance

Questions

1. Reinstatement refers to ?

a)         the renewal of a term life insurance policy.

b)         insuring a previously non-insurable person.

c)         acceptance by the insurer of a misstatement on the application.

d)         bringing a lapsed policy up to date by paying premiums in arrears and providing evidence of insurability.

2. A joint life annuity will cease to pay installments ?

a)         upon the death of the last surviving annuitant.

b)         upon the death of the first annuitant to die.

c)         upon the death of the executor.

d)         upon the death of the oldest annuitant.

 

Answers

 

1. d)     bringing a lapsed policy up to date by paying premiums in arrears and providing evidence of

insurability.

2. a)     upon the death of the last surviving annuitant.

LLQP Exam Questions

Questions

 

1. Fred is self employed and earned $60,000 in 2012. The YMPE is 50,100 for the 2012 CPP year and the YBE is $3,500. Fred’s contribution as an employee of his company is 4.95% to CPP. How much is contributed in total by Fred and his company to the CPP for Fred in 2012?

 

a)            $2306.70

b)            $2479.95

c)            $4613.40

d)            $5593.50

 

2. Shania wants to retire early when she turns 62 years old in 2012. If she waited until age 65, she would be entitled to a CPP pension of $986.67. What is her approximate monthly CPP pension if she retires on her 62nd birthday?

 

a)            $802

b)            $987

c)            $809

d)            $816

 

 

Answers

 

1. c) $4613.40

 

Rationale: YMPE $50,100 – YBE $3500 = $46,000 Contributory Earnings

$46,000 x 9.9% = $4,613.40

Reference: LLQP Module 10

 

2. a) $801.97 or $802

 

Rationale:            0.52 x 12 months = 6.24% reduction per year

6.24% x 3years = 18.72% reduction

(100%-18.72% = 81.28%) x $986.67 = $801.97 or $802

 

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Insurance – LLQP: Breaking it Down

Before you sign up for your Foran/ Advocis LLQP Workshop

Make sure that you have registered with a provider for the LLQP program and received your course material. Certified providers are the companies that send you your text books, create your certification exam, and send your grade on to the province. There are many providers including Advocis, CSI, Sunlife.

Remember, you cannot write your certification exam or your provincial exam without first registering with a provider of the LLQP program. Which means that even if you borrowed the LLQP text book(s) from a friend or inherited them from an uncle, you still have get them from a provider.

What to expect at Foran

Now that you have your books, we can help you pass the LLQP exams. Foran Financial’s 4 day workshop is designed to help you build your confidence and understanding of LLQP material while significantly reducing your study time.

This workshop will be most effective if you are already familiar with the material. There is a lot of information to cover in a short period of time. We are talking about getting through two text books in four days. Crack your books, know the topics, focusing on chapters 2, 3, 4, 9 and 10 (the biggies), and write down your questions.

We will review the material you are going to be tested on, focusing on major subjects and using lots of examples then apply that knowledge with sample questions, quizzes and case studies. Our instructor will also be giving you study and test taking strategies, so that you perform your best on exam day.

You will receive two books when you get to class. Yes, this is in addition to the books you already got from Advocis. Your Foran books contain quiz questions, a summary of the presentation, sample exams, case studies, and other supplementary handouts. We will be using these in class as well as assigning homework out of them. We want to give you all of the tools to master this exam!

The Foran seminar is specifically designed to compliment the Foran/Advocis LLQP program. That being said, we welcome students from any LLQP provider to benefit from our seminars. Because all LLQP candidates will have to write the same provincial exams, you can benefit from Foran’s seminars whatever provider you take the program with.

If you have any more questions about the Foran/Advocis LLQP workshop, please contact us.