100+ Free LLQP Practice Questions

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2026 Statistics

Key Facts: LLQP Exam

4 modules

Life Insurance, Accident & Sickness, Segregated Funds & Annuities, and Ethics & Professional Practice

CISRO LLQP Curriculum

60%

Passing mark required in each LLQP module exam

FSRA Ontario - LLQP

About 75 minutes

Time allowed for each LLQP module exam session

Insurance Council of BC - About the LLQP Exam

Open book

Candidates are supplied an approved e-book of reference material during the exam

FCNB - LLQP Licensing Requirements

4 options

Every LLQP question has four answer choices with exactly one correct answer

FCNB - LLQP Exam Format

12 months

LLQP pass marks remain valid for licensing for 12 months from the pass date

FCNB - LLQP Licensing Requirements

Quebec excluded

The Common Law LLQP applies in all provinces and territories except Quebec, which uses the AMF Civil Code program

CISRO / LLQP Wikipedia

100

Free original practice questions here across all four modules

OpenExamPrep

The Life Licence Qualification Program (LLQP) is Canada's harmonized licensing exam for life and accident & sickness insurance agents, developed by CISRO and administered by Durham College for provincial regulators. It has four proctored, open-book, multiple-choice certification modules: Life Insurance (about 35 questions), Accident & Sickness (about 35), Segregated Funds & Annuities (about 35) and Ethics & Professional Practice (about 25), each about 75 minutes. The passing mark is 60% per module, and a full life licence requires passing all four. Outside Quebec the Common Law version applies; Quebec runs its own AMF Civil Code program. This 100-question bank gives original practice across all four Common Law modules with full explanations.

Sample LLQP Practice Questions

Try these sample questions to test your LLQP exam readiness. Each question includes a detailed explanation. Start the interactive quiz above for the full 100+ question experience with AI tutoring.

1Which type of life insurance provides coverage for a set number of years, pays a benefit only if death occurs during that period, and typically has no cash value?

A.Whole life insurance

B.Term life insurance

C.Universal life insurance

D.Participating life insurance

Explanation: Term life insurance covers a fixed period (for example 10 or 20 years) and pays the death benefit only if the insured dies within the term. It is pure protection and generally builds no cash value, which makes it the lowest-cost option per dollar of coverage.

2A universal life policy is best described as which of the following?

A.Permanent insurance combining a death benefit with a flexible investment account

B.Term insurance that automatically renews each year at level premiums

C.Group insurance offered through an employer

D.A non-guaranteed insurance product that pays only living benefits

Explanation: Universal life is permanent insurance that separates the cost of insurance from an investment component. Policyholders can adjust premiums and death benefits within limits, and the account value grows on a tax-advantaged basis based on chosen investment options.

3In a participating whole life policy, policyholder dividends are best described as:

A.A guaranteed annual interest payment set in the contract

B.A return of surplus that is not guaranteed and depends on the insurer's experience

C.A taxable bonus the insurer must pay each year

D.The cash surrender value paid on cancellation

Explanation: Dividends represent a return of the insurer's surplus arising from favourable mortality, expense and investment experience. They are not guaranteed and are declared at the insurer's discretion. Policyholders can take them in cash, reduce premiums, buy paid-up additions or leave them on deposit.

4A client wants the lowest-cost coverage to protect a 20-year mortgage and does not need cash value. Which product best fits this need?

A.20-year term life insurance

B.Whole life insurance

C.Universal life insurance with a level death benefit

D.A deferred annuity

Explanation: A 20-year term policy matches the mortgage period and provides the most coverage per premium dollar, since it has no cash value. This is the classic needs-based match for temporary debt protection.

5Which policy rider allows a policyholder to purchase additional life insurance at specified future dates without providing new evidence of insurability?

A.Waiver of premium rider

B.Guaranteed insurability rider

C.Accidental death benefit rider

D.Term rider

Explanation: The guaranteed insurability (future purchase option) rider lets the insured buy more coverage at set option dates or life events without a new medical, protecting against future deterioration in health. It is useful for clients expecting growing insurance needs.

6The waiver of premium rider on a life insurance policy generally:

A.Pays the death benefit early if the insured is terminally ill

B.Waives future premiums if the insured becomes totally disabled

C.Refunds all premiums paid if the insured survives the term

D.Increases the death benefit each year to offset inflation

Explanation: Waiver of premium keeps the policy in force without further premium payments if the insured becomes totally disabled, usually after a waiting period. It protects coverage when the insured loses the ability to earn income and pay premiums.

7Under a life insurance policy, the contestability period in most Canadian common-law jurisdictions allows the insurer to:

A.Cancel the policy at any time for any reason

B.Contest a claim for material misrepresentation, generally within the first two years

C.Refuse to pay any claim during the first five years

D.Increase premiums without notice during the first year

Explanation: During the contestability period, generally the first two years, the insurer can void the contract or deny a claim if there was material misrepresentation or non-disclosure on the application. Fraud can be contested at any time even after the period ends.

8An applicant fails to disclose a serious heart condition on a life insurance application. The condition is material to the risk. This is an example of:

A.Adverse selection

B.Material misrepresentation

C.Subrogation

D.Concurrent disability

Explanation: Failing to disclose a material fact that would affect the insurer's underwriting decision is material misrepresentation. It can allow the insurer to void the policy during the contestability period, and fraud can be contested at any time.

9In life insurance underwriting, a person classified as a 'preferred' risk would most likely:

A.Pay higher premiums than a standard risk

B.Pay lower premiums than a standard risk

C.Be declined for coverage

D.Receive a rated policy with an extra premium

Explanation: A preferred risk has health, lifestyle and family-history characteristics better than average, so the insurer charges lower premiums than the standard class. Risk classes from best to worst typically run preferred, standard, rated (substandard), then declined.

10Which of the following is generally TRUE about the death benefit paid from a personally owned life insurance policy to a named beneficiary in Canada?

A.It is fully taxable as income to the beneficiary

B.It is received tax-free by the beneficiary

C.It is taxed as a capital gain to the estate

D.It is subject to a 25% withholding tax

Explanation: Life insurance death benefits paid to a named beneficiary are received tax-free and bypass the estate, avoiding probate. This tax-free transfer is a key planning advantage of personally owned life insurance in Canada.

About the LLQP Exam

The Life Licence Qualification Program (LLQP) is the harmonized Canadian pathway to a life and accident & sickness insurance agent licence, developed by the Canadian Insurance Services Regulatory Organizations (CISRO). After completing an approved pre-licensing course, candidates write four proctored, open-book, multiple-choice certification modules: Life Insurance, Accident & Sickness Insurance, Segregated Funds & Annuities, and Ethics & Professional Practice. Each module must be passed at 60%. The modules test applied product knowledge, needs-based selling, suitability and professional conduct using Canadian insurance terminology. The Common Law version applies across Canada except Quebec, where the Autorite des marches financiers (AMF) administers an equivalent program built on the Civil Code; this question bank covers the Common Law modules.

Assessment

Four separate certification module exams, all multiple choice with four options and one correct answer: Life Insurance (about 35 questions), Accident & Sickness (about 35), Segregated Funds & Annuities (about 35) and Ethics & Professional Practice (about 25).

Time Limit

About 75 minutes per module exam, written as four separate proctored sessions.

Passing Score

60% in each module. A full life insurance licence requires passing all four modules; the Accident & Sickness licence requires only the Accident & Sickness and Ethics modules.

Exam Fee

Set per module by the administering provider (Durham College) and varying by province and delivery: paper exams about CAD $66 (Ontario, New Brunswick), online exams about CAD $84 in most provinces. The pre-licensing course is purchased separately, typically CAD $300 to $650. (Durham College, on behalf of Canadian provincial regulators under the CISRO harmonized framework)

LLQP Exam Content Outline

30%

Life Insurance

Term, whole and universal life products; cash value, dividends and non-forfeiture options; policy provisions, riders and settlement options; underwriting and risk classification; beneficiary and ownership designations; and the taxation of life insurance, including the adjusted cost basis, exempt status and the capital dividend account.

25%

Accident & Sickness Insurance

Disability income, critical illness, long-term care, health and dental, travel and accidental death and dismemberment coverage; definitions of total and partial disability, own-occupation versus any-occupation, elimination and benefit periods, renewability provisions, and the taxation of personally and group-owned living benefits.

25%

Segregated Funds & Annuities

Individual variable insurance contracts (IVICs); maturity and death-benefit guarantees, resets and the 75/75 and 75/100 structures; creditor protection through beneficiary designation; Assuris protection; registered and non-registered annuities; RRSP, RRIF and TFSA rules; and suitability and Fund Facts disclosure.

20%

Ethics & Professional Practice

Regulation of the insurance of persons sector, licensing and continuing education; agent duties of care, good faith and disclosure; conflicts of interest and disclosure of compensation; privacy obligations under PIPEDA; the needs-based sales practices model; errors and omissions coverage; replacement disclosure; and consumer protection.

How to Pass the LLQP Exam

What You Need to Know

Passing score: 60% in each module. A full life insurance licence requires passing all four modules; the Accident & Sickness licence requires only the Accident & Sickness and Ethics modules.
Assessment: Four separate certification module exams, all multiple choice with four options and one correct answer: Life Insurance (about 35 questions), Accident & Sickness (about 35), Segregated Funds & Annuities (about 35) and Ethics & Professional Practice (about 25).
Time limit: About 75 minutes per module exam, written as four separate proctored sessions.
Exam fee: Set per module by the administering provider (Durham College) and varying by province and delivery: paper exams about CAD $66 (Ontario, New Brunswick), online exams about CAD $84 in most provinces. The pre-licensing course is purchased separately, typically CAD $300 to $650.

Keys to Passing

Complete 500+ practice questions
Score 80%+ consistently before scheduling
Focus on highest-weighted sections
Use our AI tutor for tough concepts

LLQP Study Tips from Top Performers

1Study each module as a distinct subject; LLQP is four separate exams testing different products and client problems, not one long insurance paper.

2Practise needs-based selling: many questions describe a client scenario and ask you to match the right product, coverage amount or next professional step rather than recall a definition.

3Memorise the key numbers that recur: the 60% pass mark, the 75/75 and 75/100 segregated fund guarantees, RRSP-to-RRIF conversion by age 71, and elimination and benefit periods for disability.

4For the Ethics module, learn the needs-based sales practices model and disclosure duties, including conflict-of-interest and compensation disclosure and PIPEDA privacy obligations.

5Use the open-book format wisely: know the reference e-book's structure so you can find rules quickly, but do not rely on it for scenario reasoning, where time is tight.

6Take full-length timed practice for each module to build pace at roughly two minutes per question, then review every wrong answer until you can explain why each distractor is wrong.

Frequently Asked Questions

How many modules does the LLQP exam have?

Four certification module exams: Life Insurance, Accident & Sickness Insurance, Segregated Funds & Annuities, and Ethics & Professional Practice. All are multiple choice with four options and one correct answer.

What is the passing score for the LLQP?

The passing mark is 60% in each module. A full life insurance licence requires passing all four modules, while the Accident & Sickness licence requires only the Accident & Sickness and Ethics modules.

Is the LLQP exam open book?

Yes. The modular certification exam is open book. Candidates are supplied an approved e-book of reference material to use during the proctored session; no other materials may be brought in.

How long is each LLQP module exam?

Each module exam is about 75 minutes and is written as a separate proctored session. The Life, Accident & Sickness and Segregated Funds modules each have about 35 questions, and the Ethics module has about 25.

Does the LLQP apply in Quebec?

The Common Law LLQP applies across Canada except Quebec. Quebec's Autorite des marches financiers (AMF) administers an equivalent program built on the Civil Code. This question bank covers the Common Law modules.

Are these official CISRO practice questions?

No. These are original OpenExamPrep questions modelled on the published LLQP curriculum competencies. CISRO and approved course providers supply official study material and certification exams separately.