FX — Foreign-Currency Non-Investment-Linked Insurance Salesperson
Administered by LIA-ROC · 50 MCQs · 60 minutes · Pass mark 70
Who needs this licence?
Required for salespeople who sell or recommend foreign-currency-denominated non-investment-linked life insurance products — typically USD, AUD or CNY policies including whole life, interest-sensitive life, and traditional foreign-currency annuities. FX registration generally requires LIFE first.
Products covered
- Foreign-currency whole life and term life
- Foreign-currency interest-sensitive life
- Foreign-currency traditional annuities (non-ILP)
- Other FSC-approved foreign-currency non-investment-linked products
Foreign-currency investment-linked policies require INVL in addition; foreign-currency P&C products are handled by P&C salespeople.
Exam format
- 50 single-answer MCQs
- 60 minutes
- Pass mark 70
Smallest exam and shortest sitting of the four — but still independently passed.
Core study scope (concept level)
- Foreign-currency product structure: common currencies, principle of matching premium and benefit currency, surrender / policy-value calculations.
- FX risk disclosure: policyholder bears the FX risk; mandatory risk disclosure at point of sale.
- FX-flow regulation: how foreign-currency premiums are collected and paid out under Central Bank and FSC rules, basic foreign-exchange reporting concepts.
- Consumer protection: suitability assessment, sales-process records, application form and signed declarations.
- Foreign-currency model clauses: where they differ from standard NTD policy clauses.
- Sales-conduct notices: FSC and LIA-ROC notices specific to foreign-currency policies.
Specific FX regulation article numbers and reporting thresholds follow the latest Central Bank and FSC publications.
Recommended preparation
- One to two weeks of focused prep is typically enough; concentrate on FX-policy-specific rules.
- Treat "FX risk disclosure" and "differences vs NTD policy clauses" as high-yield topic areas.
- Pace yourself: roughly one minute per question over the 50-question paper.
- Lean on the Insurance Act fundamentals already covered in LIFE — no need to re-grind basics.
Further reading
Free Practice Questions
These 8 questions are identical to the app's free preview for this exam — tap an option to answer and see the explanation instantly. More free questions →
Based on the classification of life insurance by the insured event, which of the following products is designed so that "the insured can collect the benefit as long as he or she is still alive when the agreed insurance period expires"?
Why: Classified by the insured event, life insurance can be divided into death insurance, pure endowment insurance, and endowment insurance. The benefit condition of pure endowment insurance is that the insured is still alive when the insurance period expires, taking "survival" as the triggering event for payment. Therefore the correct answer is pure endowment insurance.
Which of the following best describes the benefit-design feature of endowment insurance (commonly known as savings-type life insurance)?
Why: Endowment insurance combines the benefits of both death insurance and pure endowment insurance. If the insured dies during the insurance period, a death benefit is paid; if the insured is still alive at maturity, a maturity benefit can be collected. It therefore has both protection and savings characteristics, so the correct answer is that the benefit is paid in either situation.
Under the definition of "foreign exchange" in the Foreign Exchange Control Act, which of the following falls within the scope of foreign exchange?
Why: The Foreign Exchange Control Act defines foreign exchange as three categories: foreign currencies, instruments, and securities. It does not refer only to foreign currency cash, nor does it include New Taiwan Dollars or physical precious metals.
Taiwan implements foreign exchange controls. According to the legislative purpose set out in the Foreign Exchange Control Act, which of the following policy objectives is it primarily intended to achieve?
Why: The legislative purpose of the Foreign Exchange Control Act is to balance the international balance of payments and stabilize the financial system, on the basis of which foreign exchange controls are implemented. It is not designed to raise interest rates, prohibit the holding of foreign assets, or manipulate the exchange rate.
Before commencing foreign exchange business, an insurance enterprise must, in accordance with the regulations, first obtain the approval of which of the following in order to proceed?
Why: Under the regulations governing the conduct of foreign exchange business by insurance enterprises, an enterprise must obtain the approval of the Financial Supervisory Commission jointly with the Central Bank before commencing foreign exchange business; it cannot proceed merely by its own resolution or with the consent of the association alone.
A newly hired legal staff member, while compiling the checklist for applying to conduct foreign exchange business, mistakenly included one document among the required items. Which of the following is in fact NOT a document required to be attached when applying?
Why: An application to conduct foreign exchange business should include a copy of the business license, the minutes of the board of directors' resolution, supporting approval documents, a compliance statement signed by the heads of the relevant departments, and the business plan, among others. Proposers do not yet exist at the application stage, so there can be no consent form from all proposers; this item is mistakenly listed.
When a salesperson sells foreign-currency non-investment-linked insurance, the exchange rate risk disclosure statement should in principle be jointly signed and confirmed by which of the following?
Why: Under the rules governing foreign-currency non-investment-linked personal insurance, the exchange rate risk must be disclosed and explained at the time of solicitation, and the proposer and the salesperson must jointly sign and confirm this on the application form and the exchange rate risk disclosure statement. The purpose is to ensure the proposer understands the risk and to retain a record of confirmation by both parties.
Under the relevant rules, by which of the following points in time, at the latest, must a salesperson complete the disclosure and explanation of the exchange rate risk?
Why: The rules require the salesperson to disclose and explain the exchange rate risk and related matters at the time the product is solicited, so that the proposer fully understands the risk before deciding to take out the policy, rather than informing them only at a later premium-payment or benefit-payment stage.
Complete FX question bank + mocks
PrepLicense: TW Insurance ships the full FX question bank covering foreign-currency policy clauses, FX risk disclosure and FX-flow rules.
Independent study aid. Not affiliated with or endorsed by the FSC, LIA-ROC, NLIA, or TII. Exam rules and FX regulation are governed by the relevant authorities.
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