CFP Insurance Planning Exam Verified Exam Questions and Answers Latest update 2026/2027

CFP Insurance Planning Exam
Verified Exam Questions and Answers Latest update 2026/2027

Question:
Insurable risks must be CHAD.. -
Answer:
Catastrophic, Homogenous
exposure, Accidental, and Determinable

Question:
To be a legal contract the contract must have COALL.. -
Answer:
Competent
parties, Offer & Acceptance, Legal consideration, and Lawful purpose

Question:
Void means what -
Answer:
not valid

Question:
Voidable means.. -
Answer:
Valid but allows for party to cancel the contract

Question:
Insurance contracts are UCAA. -
Answer:
Unilateral

Conditional

Aleatory

Adhesion

Question:
Adhesion means.. -

, Answer:
Take it or leave it. Zero negotiations over terms
or conditions.

Question:
Aleatory means.. -
Answer:
Money exchanged may be unequal. Ex: small
premium w/large DB

Question:
Unilateral means.. -
Answer:
One promise is made by insurer and that is to
pay in event of a loss

Question:
Conditional means... -
Answer:
insured must abide by terms / conditions of
the contract

Question:
Insurance agents have different types of authority.. -
Answer:
true

Question:
Express authority means.. -
Answer:
authority given through an agency or
written contract

Question:
Implied authority means... -
Answer:
the public receives knowledge of
authority

Ex: actual delivering of insurance contract and accepting premium