State RegulationsAZ specificDifficulty 2/5
A life producer in Glendale offers a prospect season tickets to local sporting events if the prospect purchases a life policy through the producer. Under Arizona law, this offer is:
Select an option to reveal the answer and the full 3-part explanation — free, no signup.
Answer & full 3-part explanation (select an option above, or peek)
Why A is correct
A.R.S. 20-449 prohibits giving special favors or advantages not specified in the policy to induce life insurance purchases; season tickets are a classic unlawful inducement and expose the producer to discipline by the Director.
Why the other options are wrong
- B) Promoting a contemplated purchase does not authorize an inducement that Arizona insurance law prohibits.
- C) Non-disclosure to the insurer aggravates rather than legalizes the practice.
- D) Special favors are prohibited regardless of premium size; no premium threshold applies.
Memory hook
Tickets to close = a rebate in a nicer wrapper.