State RegulationsAZ specificDifficulty 1/5
Under Arizona insurance law, who qualifies as a nonresident producer?
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Answer & full 3-part explanation (select an option above, or peek)
Why D is correct
Under A.R.S. 20-281(11), a nonresident producer is a producer whose home state, or principal place of residence or business, is not Arizona. Where the producer lives and works controls the classification — not where the clients are, where the insurer is chartered, or how new the license is.
Why the other options are wrong
- A) Wrong because an Arizona resident selling to out-of-state clients is still a resident producer under A.R.S. 20-281(11); the client location is irrelevant.
- B) Wrong because the domicile of the insurer has no bearing on producer classification under A.R.S. 20-281(11).
- C) Wrong because license tenure does not determine residency status; the classification turns on where the producer resides or has a principal place of business.
Memory hook
Live outside Arizona, sell inside it — that is a nonresident.