Friday Five Focus on Protection – 2 September – 5 Questions in 5 Minutes

Friday Five Focus on Protection – 5 Questions in 5 Minutes Every Friday

What’s this all about?

Each week, we ask questions relating to one of these topics: Investments, Taxation, Pensions, Protection, or Regulation. This week, our Friday Five is relevant to Protection; this is useful as you prepare for the CII’s R05 exam. The challenge is for you to answer them in 5 minutes. Answers at the bottom of the page.

Questions

IMPORTANT! IMPORTANT! These questions relate to examinable tax year 2022/23, examinable by the CII until 31 August 2023.

1. Who, from the following list of applicants for an income protection policy is likely to be charged the highest premium?
   1. Derek, aged 45, with a deferred period of 13 weeks
   2. Chloe, aged 52, with a deferred period of 26 weeks
   3. Arthur, aged 47, with a deferred period of 8 weeks
   4. Julia, aged 48, with a deferred period of 4 weeks

2. Neil’s critical illness policy has been set up on a reviewable basis. Which of the following is the new rate based on when the reviews are undertaken?
   1. The policyholder’s health
   2. The policyholder’s age
   3. Claims’ experience of the insurer
   4. Changes in the amount of claims made within the industry

3. Hansen Trading is taking out a key person policy on the life of Henry Smith their top salesperson. Which of the following statements most CORRECTLY describes how the policy will be written?
   1. Hansen Trading will be proposer and Henry Smith the owner and life assured
   2. Henry Smith will be the proposer, owner and the life assured
   3. Henry Smith will the proposer and life assured and Hansen Trading the owner
   4. Hansen Trading will be the proposer and owner and Henry Smith the life assured

4. Elaine, aged 28 and single, made a claim for employment support allowance (ESA), and has been placed in the work-related activity group. This means that she will have
   1. a higher level of benefit than those in the support group
   2. benefits paid for a maximum of 14 weeks
   3. been attending mandatory work-focused interviews from week 8 of her claim
   4. a work capability assessment every 4 weeks

5. What form of benefit will Harry receive if he makes a claim on his care cash plan?
   1. A cash lump sum and income for a set period
   2. A cash lump sum and/or income until he dies
   3. A cash lump sum and/or income for a set period
   4. A cash lump sum and income until he dies

Answers

1. D – See R05 Study Text, Chp 6
   Grab our taster mock exam paper for CII R05. Click here to download.

2. C – See R05 Study Text, Chp 7
   Grab our taster mock exam paper for CII R05. Click here to download.

3. D – See R05 Study Text, Chp 11
   Grab our taster mock exam paper for CII R05. Click here to download.

4. C – See R05 Study Text, Chp 3
   Grab our taster mock exam paper for CII R05 Click here to download.

5. C – See R05 Study Text, Chp 8
   Grab our taster mock exam paper for CII R05. Click here to download.

How did you find this week’s questions? Did you complete them in 5 minutes? Did you get them all correct? Do you disagree with any?

If you found this quiz useful for your CII exam revision, please do share it with your colleagues.