PassSprint
State RegulationsAZ specificDifficulty 1/5

Under A.R.S. 20-3205, an Arizona life settlement applicant's medical and financial information may be obtained or disclosed only when:

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 B is correct

A.R.S. 20-3205 protects the privacy of life settlement applicants by conditioning the collection, use, and disclosure of their medical and financial information on the applicant's authorization. This prevents settlement parties from shopping an applicant's health records and financial details without permission. Producers and providers who mishandle applicant information face exposure under Arizona's settlement statutes.

Why the other options are wrong

  • A) The broker's judgment about relevance is not the legal standard; the applicant's authorization controls under A.R.S. 20-3205.
  • C) The issuing insurer cannot authorize use of the applicant's private information; only the applicant's authorization satisfies the statute.
  • D) DIFI does not pre-approve individual information transfers; the statutory condition is applicant authorization under A.R.S. 20-3205.

Memory hook

Applicant authorization unlocks medical and financial records — nobody else's yes counts.

Related Practice Questions