Free LLQP Practice Exam Questions (2026): Sample Questions From All 4 Modules
The LLQP is not a memorization test. It is a scenario test. The four modules ask you to read a short situation and pick the best advice for the client. Practice exams matter more than flashcards because they train you to think like an advisor.
Below are real format sample questions across all 4 modules, with answers and explanations. These are not actual exam questions, as those are confidential, but they mirror the wording, depth, and difficulty you will see on the day.
Module 1: Life Insurance
Question 1
Sarah, 34, is married with 2 children ages 6 and 8. She earns 85,000 dollars a year and her husband earns 75,000. Their mortgage balance is 320,000 dollars with 22 years remaining. They have no other debt and 15,000 dollars in emergency savings. Sarah wants the most cost effective coverage to protect her family if she dies before her children are independent.
Which product is most appropriate?
A) 1 million dollar permanent whole life
B) 750,000 dollar 20 year term policy
C) 500,000 dollar Universal Life with minimum funding
D) 300,000 dollar 10 year term policy
Answer: B
The need is temporary, until children are independent and the mortgage is reduced. The amount of coverage should approximate income replacement plus mortgage. 7 to 10 times income plus mortgage suggests 600,000 to 1 million. Twenty year term is the right duration. Permanent insurance is more than she needs and costs 8 to 10 times more.
Question 2
A 45 year old client tells you they only want to talk about their RRSP and is not interested in discussing life insurance. They have 4 dependent children and a 600,000 dollar mortgage. What is your obligation under the Code of Conduct?
A) Respect their wishes and only discuss the RRSP
B) Decline to do business until they consider all needs
C) Document the conversation and proceed with the RRSP only
D) Conduct a full needs analysis and recommend life insurance regardless of their stated preference
Answer: C
You cannot force a client to buy insurance. You can and should explain that you observe a coverage gap. If they decline, document the conversation, note that the recommendation was made and refused, and proceed with the business they have requested. This protects you and respects client autonomy.
Module 2: Accident and Sickness
Question 3
Michael is a 38 year old self employed plumber earning 140,000 dollars per year. He has no group benefits and no disability coverage. He is researching individual disability options. Which type of policy best protects his income?
A) Critical illness only
B) Hospital cash plan
C) Own occupation disability insurance with a 90 day elimination period
D) Mortgage protection insurance
Answer: C
As a self employed tradesperson, Michael needs income replacement if he cannot work. Own occupation disability covers him if he cannot perform the duties of his current job, plumbing, which is the highest level of definition. A 90 day elimination period balances cost and coverage. Critical illness covers specific conditions and pays a lump sum but does not replace ongoing income. Mortgage protection is restrictive and creditor focused.
Question 4
A client with a family history of cancer asks about critical illness insurance. The client is 42, non smoker, healthy. What disclosure is required when you recommend a CI policy?
A) Only the premium
B) Premium plus covered conditions plus waiting period
C) Premium plus covered conditions plus survival period plus return of premium options
D) Only the survival period
Answer: C
The Code of Conduct and disclosure standards require full product disclosure. The survival period is critical because the client must typically survive 30 days after diagnosis before a CI claim is paid. Return of premium is a major cost factor that the client must understand.
Module 3: Segregated Funds and Annuities
Question 5
Carmen, 67, is recently retired with a 400,000 dollar non registered investment portfolio. She wants guaranteed monthly income for life with the ability to leave a death benefit for her children. Which product is most appropriate?
A) GIC ladder
B) Variable annuity with no death benefit
C) Segregated fund with 75 percent death benefit guarantee and lifetime withdrawal benefit
D) Mutual fund balanced portfolio
Answer: C
A segregated fund with a 75 percent death benefit guarantee provides her named beneficiary with at least 75 percent of deposits regardless of market performance. A lifetime withdrawal benefit provides guaranteed monthly income. This product meets both stated needs in a single contract. A GIC ladder provides safety but no growth. A mutual fund has no guarantees. A variable annuity without a death benefit fails the second requirement.
Question 6
A segregated fund client wants to name a beneficiary on a non registered policy held in Ontario. What is the primary creditor protection benefit?
A) The death benefit is paid without probate
B) The contract value is fully protected from creditors during the client’s lifetime
C) The contract value can be claimed by creditors during the client’s lifetime but bypasses probate at death
D) The contract value is paid only to the estate
Answer: A
Segregated fund contracts with a named beneficiary bypass probate and pay directly to the beneficiary. Creditor protection during lifetime requires additional criteria, such as an irrevocable beneficiary, family class, and no fraudulent intent. Probate avoidance is the most consistently applicable benefit for non registered policies.
Module 4: Ethics and Professional Conduct
Question 7
An advisor recommends switching a client from an existing whole life policy issued 8 years ago to a new term policy because the term is cheaper. What is the advisor required to do under replacement rules?
A) Simply complete the new application
B) Complete a replacement declaration form documenting the comparison and the rationale
C) Wait 60 days before issuing the new policy
D) Get the original carrier’s approval
Answer: B
Canadian replacement rules, including the LIRC (Life Insurance Replacement Declaration), require advisors to document any replacement of an existing life insurance contract, compare features side by side, and explain why the replacement is in the client’s best interest. The form must be signed by both the advisor and the client.
Question 8
An advisor accepts a 2,000 dollar referral fee from a non licensed individual who introduced a high net worth client. Is this permitted?
A) Yes, referral fees are always allowed
B) Yes, but only if disclosed to the client
C) No, the referral must be from a licensed individual to be paid a referral fee
D) Yes, if the amount is below 5,000 dollars
Answer: C
Most provincial regulators only permit referral fees paid to licensed individuals or to professionals operating under their own regulator, such as lawyers and accountants. Paying referral fees to unlicensed third parties is generally prohibited and can result in disciplinary action.
Key Takeaway
These eight questions mirror the structure of the actual LLQP. Notice that every correct answer requires reading the scenario carefully and applying a rule, not just recalling a definition. If you can consistently score above 75 percent on practice scenarios like these, you are ready to write.
Frequently Asked Questions
Where can I get more practice questions?
Every LLQP course provider, including Advocis, ILScorp, IFSE, Oliver, and Business Career College, includes a question bank. Look for question banks with at least 800 questions across the 4 modules.
Our recommended provider is Oliver’s Learning. We recommend Oliver’s Learning for its exam pass focus and strong practice question bank. You can enrol directly through our agency link above.
Are practice exams representative of the real LLQP?
Yes. The LLQP committee designs questions to test application of CISRO competencies. Reputable providers update their banks each year.
How many questions are on the actual exam?
Each module is 25 to 75 questions depending on the module. Most provinces use 35 to 50 questions per module.
What is the pass mark?
60 percent on each module in most provinces.
For a deeper walkthrough of each module, see our LLQP Study Guide. For sample provincial exam booking steps, see our LLQP Exam Format guide.