Preview Questions Insurance Advisor | Role Specific Skill

Question 1: When recommending a policy for a client in their 30s looking to secure financial protection for their family, what is the most appropriate product?

Which action should you take?

Choose only one option

A whole life policy with minimal coverage

A universal life insurance policy with a high cash value

A term life insurance policy with a suitable coverage amount based on income and dependents

A short-term disability policy with limited coverage

Question 2: How should an insurance advisor respond to a client who has expressed dissatisfaction with the terms of their policy?

Which action should you take?

Choose only one option

Avoid further communication to avoid conflict

Acknowledge the concern and offer a review of options

Disregard the complaint and continue business as usual

Offer a full refund for the policy

Question 3: What key feature does whole life insurance offer that term life insurance does not?

Which action should you take?

Choose only one option

A yearly premium reduction

A cash value component that grows over time

A fixed term for the policyholder's death benefit

A premium refund option at the end of the term

Question 4: In advising a client interested in indexed universal life (IUL) policies for cash value accumulation, which recommendation approach best incorporates scenario testing of index caps, participation rates, and policy charges to prevent unrealistic expectations?

Which action should you take?

Choose only one option

Present solely the carrier's optimistic projection without stress tests

Provide multiple scenario analyses (low, medium, high), explain index mechanics (caps, spreads, participation), model policy charges impact, and highlight non-guaranteed elements

Show only an illustration with a single historical index average

Recommend IUL based solely on historical best-case returns

Question 5: In the case of recommending an umbrella insurance policy, which of the following should an insurance advisor consider?

Which action should you take?

Choose only one option

The client's car make and model

Only the client's income level and age

The client's current liabilities, existing policies, and potential exposure to lawsuits

The geographic location of the client's home

Question 6: Critical illness policies are designed to cover the cost of major diseases. Which of the following is usually excluded from such coverage?

Which action should you take?

Choose only one option

Cosmetic surgeries

Heart attack

Stroke recovery

Cancer treatment