On June 5, Karl completed an application for critical illness coverage and paid an annual premiumof $1,250.
On June 25, the underwriter approved the policy under standard conditions and sent it to the agent, who received it on July 7. The agent contacted the client on August 8 and the date for delivery was set at August
10. On August 12, Karl learns that he will lose his job at the end of the month. As such, he decides to cancel the policy, returning it to the insurer on August 15. What is the rule governing Karl's right to have his premium refunded?

• A.He is entitled to a refund, because the policy was returned within 10 days of delivery.
• B.He is not entitled to a refund, because the policy was approved more than 30 days ago.
• C.He is entitled to a refund, because the representative delivered the policy more than 10 days after its issuance.
• D.He is not entitled to a refund, because the application was signed more than 30 days ago.

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(Eric, aged 28, currently works for an accounting firm. He still lives with his parents but is saving to buy a place of his own. Seven years ago, his grandparents gave him a significant cash gift following his college graduation. He deposited it into a segregated fund that invests in the natural resources sector.
However, real estate prices are rapidly increasing. Eric is concerned that if he does not buy a place in the next three to five years, it might become altogether unaffordable. In addition, the shares of the segregated fund he holds have seen a sharp drop in market value two years ago and they have not recovered yet.Eric questions his current choice of investment and asks his life insurance agent if he should switch to a different type of segregated fund.
What should the agent recommend?)

• A.Switch to a bond fund.
• B.Switch to a dividend fund.
• C.Switch to a balanced fund.
• D.Hold on to his natural resources fund.

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Pat, a 30-year-old youth worker, meets with his life insurance agent to discuss disability insurancecoverage.
After a thorough analysis of Pat's needs, the agent recommends a policy with a $1,500 a month benefit (50% of Pat's current salary) payable to age 65 after a 31-day waiting period. Pat has put enough money away to cover 6 months' worth of expenses, if necessary, but he would prefer not to dip into his savings. He applies for the policy, with the expectation that the premium will be $75 a month. He already thinks this is pricey and would not want to pay any more than that. Some time later, underwriting informs the agent that the policy has been approved, but with a 125% premium rating due to Pat being overweight. Which one of the following options would make the most sense to reduce the premium to a level Pat would accept without compromising too much on his coverage?

• A.Extend the waiting period.
• B.Reduce the monthly benefit.
• C.Extend the benefit period.
• D.Have Pat reapply for coverage after losing the excess weight.

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Emma, an employee at MagicLand, is part of the company's group registered retirement savings plan (RRSP).
During her tenure, she accumulated over $70,000 in the plan and all of her contributions are invested in segregated funds. She meets with Jun to invest in an individual segregated fund. Jun tells her that there are some differences between group and individual segregated funds.
How are Emma's group segregated funds DIFFERENT from an individual segregated fund?

• A.They have higher sales charges.
• B.They charge switching fees.
• C.They offer death benefit guarantees at a special rate.
• D.They have lower management expense ratios (MERs).

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Surjit and Rajbir got married in 2010, and Surjit named Rajbir as the irrevocable beneficiary of his life insurance contract. In 2017, the couple divorced amicably, and Surjit met with his insurance representative, Ivan, to review his plans. Surjit tells Ivan that he would like to keep Rajbir as his beneficiary.
What should Ivan counsel his client to do?

• A.Surjit does not need to do anything as Rajbir is already the named beneficiary.
• B.Surjit cannot make any changes to the policy without Rajbir's consent, as she is the irrevocable beneficiary of his policy.
• C.Surjit should name a different beneficiary now that he is divorced.
• D.Surjit should once again designate Rajbir as the beneficiary.

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