Here are questions to be answered. Questions are also embedded in pages with the tag "wip" (for work in progress).

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Q: Can duplicate copies of premium notices be sent to the beneficiary (e.g., after divorce, the former spouse may be required to continue premium payments but may not …)?


Q: Term conversion: is the new policy treated as a continuation of the original? (e.g., 5 years old —> tax sheltering of a 5-yr old permanent policy)

Q: Who decides whether the term conversion is based on the original age or attained age?

Q: Does the free look period also apply to non-life policies such as CI and DI? [does not apply for seg funds]

Q: Is TIA available for living benefits?

Q: What is the benefit of the reinstatement provision vs buying a new policy?

Q: Can the annuitant be different from the purchaser? If so, are payments taxed as if the purchaser had received them?

Q: Smoker claims to be a nonsmoker. Does the insurer normally refund premiums?

Q: Smoker claims to be a nonsmoker. The insurer can

  1. cancel the policy and refund premiums
  2. increase premiums retroactively to the smoker rate
  3. reduce coverage based on the differential in smoking rates

Is this true? [source: Advocis LLQP Practice Exam (2004), question 30]

Q: Can an absolute assignment take place without the insurer being informed? [a collateral assignment can in some provinces]


Q: Must a mortgage be repaid upon death when there's a surviving spouse?

Q: Is there any underwriting for mortgage insurance or does everyone qualify, as with group insurance? Do rates vary with age, gender, smoking status etc?


Q: Is LTC a reimbursement like A&S
Q: Can a critical illness policy be assigned?


Q: Where is an electronic copy of the Uniform Life Insurance Act available?


Q: Inactive business income can compromise the $750,000 Capital Gains Exemption available to shareholders of CCPCs. Isn’t the insurance CSV a problem too?

Q: A principal residence is not taxed. What happens to the recipient? The ACB is the fair market value at the time of receipt, so there'd be tax on further gains?

Q: What are the tax implications of taking an accelerated death benefit for a terminal illness, critical illness or long term care?

Q: Are accelerated death benefits available with whole life, or just UL?

Q: Can capital gains arise from mortgages?

Q: Does the definition of life insurance include disability insurance, critical illness insurance and annuities?


Q: If the application is for a $2 million death benefit and the maximum TIA is $500,000, then is the premium cheque collected with the application for 25% of the monthly minimum premium? If the policy takes 10 weeks to issue, when/how does the applicant pay for the extra 6 weeks?

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