State RegulationsAZ specificDifficulty 1/5
A.R.S. 20-3202 requires a life settlement broker to hold which credential?
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Answer & full 3-part explanation (select an option above, or peek)
Why D is correct
Under A.R.S. 20-3202, a life settlement broker must be an Arizona-licensed producer who holds a life line of authority. This ensures the person negotiating a settlement on behalf of a policyowner has met the state's licensing standards for life insurance transactions. Anyone brokering settlements without that producer license and life line is acting unlawfully and is subject to action by the Director.
Why the other options are wrong
- A) A.R.S. 20-3202 specifically requires a life line of authority; an unrelated line of authority does not qualify someone to broker life settlements.
- B) Adjuster licensing is a separate regime and carries no settlement endorsement for brokering life policies for owners.
- C) A business registration is not a license; brokering settlements requires an active producer license with the life line under A.R.S. 20-3202.
Memory hook
To broker settlements, be a licensed producer with the life line — no shortcuts.