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State RegulationsAZ specificDifficulty 2/5

An Arizona producer negotiates the terms of an annuity purchase between a client and an insurer but allows the insurer to issue the contract itself. Under A.R.S. 20-1243.07, the producer:

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Answer & full 3-part explanation (select an option above, or peek)

Why A is correct

Under A.R.S. 20-1243.07, negotiating an annuity contract is one of the three activities — with selling and soliciting — that trigger the one-time training precondition. A producer who negotiates terms between client and insurer is transacting annuity business even if the insurer issues the contract, so the statutory course must have been completed before the negotiation began.

Why the other options are wrong

  • B) Negotiation is expressly a regulated trigger under A.R.S. 20-1243.07; it does not create an exemption.
  • C) Consumer complaints have nothing to do with the precondition; the training must precede the negotiation itself.
  • D) In-house product training does not substitute for the statutory annuity training course required by Arizona law.

Memory hook

Deal-making counts — negotiating annuity terms demands the course first.

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