Which of the following is NOT a producer responsibility?

Which of the following is NOT a producer responsibility?

• A. Disclose all information concerning the proposed policy
• B. Submit applications only to financially sound insurers
• C. Delivering the policy to the applicant as intended
• D. Withholding material information to avoid scaring the applicant

Answer: (D)

Producers are expected to act in good faith, providing full and accurate disclosures about the proposed policy, submitting applications to insurers that are financially sound, and delivering the policy to the applicant as issued. Withholding material information to avoid scaring the applicant goes against those duties—it's concealment or misrepresentation, which can undermine the applicant's ability to make an informed decision and may lead to policy disputes or disciplinary action. The other actions reflect proper responsibilities: clear disclosure, seeking stable insurers, and delivering the policy as promised. So withholding information is not a producer responsibility.

Producers are expected to act in good faith, providing full and accurate disclosures about the proposed policy, submitting applications to insurers that are financially sound, and delivering the policy to the applicant as issued. Withholding material information to avoid scaring the applicant goes against those duties—it's concealment or misrepresentation, which can undermine the applicant's ability to make an informed decision and may lead to policy disputes or disciplinary action. The other actions reflect proper responsibilities: clear disclosure, seeking stable insurers, and delivering the policy as promised. So withholding information is not a producer responsibility.