Sterling Insurance Group employs several staff members with distinct responsibilities to support its growing operations. Under standard state insurance regulations, which of the following individuals are exempt from the requirement to hold an active insurance producer license? Select all that apply.
- A salaried benefits administrator who distributes employee benefit enrollment materials and explains the employer's health plan without receiving commissionsAnswer
- A corporate risk manager who evaluates and negotiates property insurance solely on behalf of their own employer without receiving commissionsAnswer
- CA customer service representative who is paid a base salary plus a bonus for each new personal auto policy they successfully bind
- DAn administrative assistant who routinely quotes premiums for prospective clients over the phone when the licensed producers are unavailable
Answer
The salaried benefits administrator and the corporate risk manager are exempt because they perform administrative or internal duties and do not solicit public insurance or earn commissions.
The correct answers identify individuals whose roles are purely administrative or strictly internal to their employer. Because they do not sell insurance to the public or receive commissions based on sales, they clearly meet standard state criteria for licensing exemptions.
Step-by-Step Solution
Key Concept
Licensing Exemptions and Prerequisites