hk-iiqe-paper-5 study guide
hk-iiqe-paper-5 · Work through your exam, one topic at a time.
The Insurance Intermediaries Qualifying Examination (IIQE) Paper 5, also known as Investment-Linked Long Term Insurance, is a Hong Kong licensing examination for individuals who wish to sell or advise on investment-linked long term insurance (ILAS) products. It is one of several papers set by the Insurance Authority's examination body and is typically required for technical representatives and responsible officers whose scope of regulated activity includes ILAS. The hk-iiqe-paper-5 study guide has 6 sections and about 2,671 words.
01Investment-Linked Long Term Insurance Products and Product Features
Paper 5 treats an investment-linked assurance scheme (ILAS) as a long term insurance policy whose value is linked to underlying funds, not as a mutual fund. Questions test the insurance wrapper, unit mechanics, death benefit, premium allocation, and the risk borne by the policyholder.
430 words, about 2 min02Investment Choices, Underlying Funds and Asset Allocation
This domain tests whether you can match underlying funds and asset allocation to a client's objective and risk tolerance, and explain how fund performance, currency and switching affect policy value. It is not a stock-picking test; it is about suitability and risk.
492 words, about 2 min03Policy Documentation, Charges, Fees and Premium Allocation
This domain tests the documents a client receives and the charges that reduce premium before and after units are bought. You must be able to read a benefit illustration and explain why policy value is not the same as premiums paid.
428 words, about 2 min04Regulatory Framework for Investment-Linked Long Term Insurance in Hong Kong
This domain tests the Hong Kong regulatory architecture for ILAS: who authorizes the insurer, who authorizes the product, who licenses the intermediary, and what conduct rules apply. Expect questions on the Insurance Authority, the SFC, licensing, anti-money laundering and complaints.
453 words, about 2 min05Sales Process, Suitability, Disclosure and Client Risk Profiling
This domain tests the sales process from fact-finding to application: financial needs analysis, risk profiling, product matching, disclosure, suitability documentation and cooling-off. The exam favours practical mis-selling scenarios.
418 words, about 2 min06Policy Servicing, Claims, Surrender, Switching and Post-Sale Obligations
This domain tests what happens after the sale: policy delivery, premium collection, fund switches, withdrawals, surrender, death claims, annual statements, complaints and changes in fund options. It rewards precise knowledge of timing and charges.
450 words, about 2 min