KNOWLEDGE EXPECTED OF: Both CFP® Professionals and QAFPTM Professionals
- Define terms used by insurers associated with mortality.
- Mortality risk
- Mortality cost
- Identify statistics related to the rate of mortality for an individual.
- Explain how each of the factors may impact the mortality risk for an individual, such as:
- Smoking status
- Health history
- Family health history
- Lifestyle (e.g. hazardous activities)
- Explain the relationship between the factors that may impact the mortality risk of an individual and the mortality cost of providing life insurance to an individual.
- Define life expectancy.
- Identify the Projection Assumption Guidelines1 as a reliable source for life expectancy assumptions.
- Identify other sources for life expectancy assumptions, such as:
- Statistics Canada
- Insurance companies
- Identify the life expectancy for an individual based on the Projection Assumption Guidelines.2
Glossary of Verbs (mouse over to see definition)
To state exactly the meaning of
To be aware of / to recognize and correctly name / to locate an appropriate resource
To make clear the meaning of / to describe something in more detail or reveal relevant facts or ideas related to it
To note the similarities and differences between two or more things
To determine an approximate value for
To find the value using mathematics
To change from one form or purpose to another
To reach a conclusion or make a judgement through careful study
To give the meaning of / to construe or understand / to translate orally