Thirteen questions, and the chapter that turns everything before it into a plan for one person. It contains a calculation objective, and two objectives about writing a recommendation report.
The impact of intended retirement age, the types of retirement product with their risks and suitability criteria, calculating the financial need for retirement, and what belongs in a recommendation report.
The main areas needing protection: family and personal, mortgage, long term care and business. Assessing and prioritising those needs, quantifying them, the basic principles of life assurance including proposers, lives assured and single against joint policies, and the product features of critical illness, accident and sickness, medical insurance and long term care.
Key person, shareholder and partnership cover, each with a different purpose.
Assessing the estate, power of attorney, executing a will, inheritance tax and life assurance, and the family investment vehicles: trusts and their types, offshore trusts, offshore foundations and investment companies.
A short revision checklist built from the official syllabus and from the explanations in our own question bank. Use it to check yourself after studying the chapter. It does not replace the official workbook, and it is not a prediction of what any exam will contain. Unfamiliar term? See the glossary.
The published examination specification allocates 13 of the 100 questions to this element. CISI notes the count may vary slightly between papers, so treat 13 as the weighting rather than a guarantee. Our bank holds 156 questions across the 15 learning objectives in this chapter, weighted to that same specification.
These are not predictions about any exam. They are places where the syllabus itself draws a line between two things that sound similar, which is where precise reading pays.
Who is covered and when the policy pays are different questions. Joint life first death and joint life last survivor serve entirely different planning purposes.
The syllabus lists proposers and lives assured separately for exactly this reason.
One pays a lump sum on diagnosis of a defined condition. The other replaces income while you cannot work. Questions describe a need and ask which fits.
Key person covers the loss of someone whose absence damages the business. Shareholder and partnership cover funds the purchase of a departing owner stake. Different problem, different solution.
Be able to calculate the financial need for retirement is a calculation objective, so expect numbers rather than description.
1 of the 25 Formula Lab lessons cover Chapter 8, across financial planning. Each lesson gives you the recognition cue that tells you which formula a question wants, the formula itself, the method in order, a worked example, a sense check for spotting an answer that is wrong by a factor or a sign, and its drills. The drills run the formulas backwards as well as forwards.
This chapter is where the advice process turns into specific products, so practise it after Chapter 7 rather than before. Filter to Chapter 8 and expect the protection questions to describe a need and ask which product fits. The retirement need calculation is in Formula Lab, and it is worth doing there first.
No card. The answer is only revealed once you have committed to one.
Start the free demo