Amani owns Amani's Passions, an eco-friendly cosmetics company she started in her garage three years ago.
The business is booming-so much so that Amani's Passions recently hired over 20 employees to keep up with demand. Now Amani wants to set up a group insurance plan for her staff.
Whose role is it to solicit quotes from insurers and put the right plan in place?

• A.Amani's Passions' human resources department.
• B.The group insurance provider selected by Amani.
• C.The group plan sponsor.
• D.The group broker.

Comment: *

Name: *

Email: *

Verification: *

Valerie, age 42, recently left her job after 15 years of service. She participated in a defined contribution pension plan and had accumulated benefits amounting to $88,000, eligible for transfer into a registered contract. What must Valerie do with this money?

• A.Transfer this sum into an RRSP and convert the accumulated value into a life annuity or RRIF no later than December 31 of the year she turns 71
• B.Transfer this sum into a LIRA and convert the accumulated value into a life annuity or RRIF no later than December 31 of the year she turns 71
• C.Transfer this sum into a RRIF and start withdrawing annuity payments no later than the end of the following calendar year
• D.Transfer this sum into a LIRA and convert the accumulated value into a life annuity or LIF no later than December 31 of the year she turns 71

Comment: *

Name: *

Email: *

Verification: *

Spouses Larry and Madge both work at the same pay grade for the federal government. Each of their group benefits packages includes family health and dental coverage, disability insurance with a $3,000 a month benefit, and $150,000 of life insurance with spouse as beneficiary.
If Larry were to die while still employed, how will his group benefits be treated?

• A.The health and dental coverage and disability insurance would stop and Madge can claim $150,000 from Larry's life insurance.
• B.The health and dental coverage would stop, the disability insurance would roll over to Madge, and Madge can claim $150,000 from Larry's life insurance.
• C.The health and dental coverage and disability insurance would roll over to Madge and Madge can claim
  $150,000 from Larry's life insurance.
• D.The health and dental coverage, disability insurance, and Larry's life insurance would all roll over to Madge.

Comment: *

Name: *

Email: *

Verification: *

Agatha and Peter run a successful sole proprietorship. They are 68 and 70 respectively. Peter has a huge registered investment portfolio that will result in significant tax consequences upon his death. When both of them have passed away they would like their registered investment portfolio to go to their son, Alexander, who is 48 years old. The family would like to purchase life insurance to offset the tax liability.
Which of the following plans would best suit the family?

• A.A joint first-to-die plan with Agatha and Peter as the insured
• B.Two separate permanent single life policies with Agatha and Peter as the insured
• C.A joint last-to-die plan with Agatha and Peter as the insured
• D.A joint first-to-die plan with Peter and Alexander as the insured

Comment: *

Name: *

Email: *

Verification: *

Andre, an insurance agent, meets with his client Jasper to discuss his $150,000 whole life insurance policy.
Jasper is deeply indebted and needs at least $40,000 to cover his debt. Andre tells him about a company he knows that will be willing to give him $75,000 if he assigns his policy to them. Did Andre act appropriately?

• A.No, because Jasper is not allowed to assign his policy to an arms-length entity.
• B.No, because trafficking in insurance is discouraged by the insurance industry.
• C.Yes, because he is helping his client pay off his debt.
• D.Yes, as long as this practice is not illegal in his province of residence.

Comment: *

Name: *

Email: *

Verification: *