General Insurance PrinciplesQuestion 197 of 716
A producer who legally represents the insurance company and binds it within the authority granted is called a(n):
a.Broker
b.Adjuster
c.Underwriter
d.Agent
Explanation
An agent represents the insurer and can bind the insurer within the scope of authority granted by appointment. A broker represents the applicant. An adjuster settles claims; an underwriter evaluates applications.
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Reviewed by John Zihao Zhang — California-Licensed Life Insurance Agent (CA Dept. of Insurance License #4396095 — verify)