State RegulationsVA specificDifficulty 1/5
A person who has never applied for a Virginia license wants to solicit accident and health insurance applications in the state for compensation. What does Virginia law require?
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Answer & full 3-part explanation (select an option above, or peek)
Why B is correct
The producer-licensing chapter of the Code of Virginia (Va. Code § 38.2-1802) makes licensure a prerequisite to acting as an insurance producer — selling, soliciting, or negotiating coverage. The Virginia Bureau of Insurance enforces this requirement, and unlicensed selling for compensation exposes the person to Commission action. Selling first and licensing later is the classic violation the chapter is written to prevent.
Why the other options are wrong
- A) Virginia provides no grace period of lawful unlicensed selling; licensure must be in hand before the producer activity begins.
- C) The license requirement attaches to selling any line of insurance, not only to selling multiple lines.
- D) A licensed producer's review does not legalize the unlicensed person's solicitation; each person performing producer activity must be licensed.
Memory hook
Licensed first, selling second — never the reverse.