Preview Questions Insurance Advisor | Role Specific Skill

Question 1: When assessing a client's long-term care needs, what is the first step an advisor should take?

Which action should you take?

Choose only one option

Estimate the expected duration of the client's care needs

Assess the client's retirement savings

Look at the client's current insurance policies

Evaluate the client's health and family medical history

Question 2: When introducing complex riders or advanced policy structures to a client with moderate financial literacy, which client relation technique ensures comprehension and comfort without oversimplifying critical details?

Which action should you take?

Choose only one option

Using only technical whitepapers and actuarial tables

Providing overly simplistic analogies that distort product details

Employing layered explanations: start with fundamentals, gradually add complexity, use visuals and scenario examples, and invite questions for clarification

Relying solely on legal documents and hoping the client understands

Question 3: What is the primary purpose of calculating a client's replacement ratio during a needs analysis?

Which action should you take?

Choose only one option

To calculate the total insurance coverage needed for retirement planning

To estimate the portion of income the client needs to maintain their lifestyle

To analyze the client's debts and liabilities

To determine the client's monthly living expenses

Question 4: What is the key consideration when recommending a disability income policy for a self-employed client?

Which action should you take?

Choose only one option

Offering a policy that only covers minimal expenses

Recommending a policy with the lowest premiums regardless of coverage

Ignoring the client's unique self-employed risks and recommending a standard policy

Evaluating the client's income stability and providing coverage that reflects their earnings and needs

Question 5: Which of the following sales techniques is considered most effective in cross-selling insurance products?

Which action should you take?

Choose only one option

Pushing for immediate sign-up on all available products

Presenting discounts on multiple policies only

Offering complementary policies after initial purchase

Promising lower premiums for bundling policies

Question 6: How does a flexible premium life insurance policy differ from a whole life policy?

Which action should you take?

Choose only one option

It allows the policyholder to change the death benefit or premium amounts over time

It only covers accidental death

It only provides coverage for a limited time

It has no cash value component