What must an insurance agent do when transacting business?

An insurance agent is required to communicate transparently with clients about the policies they offer. This communication is essential for building trust and ensuring that clients fully understand their options, including coverage limits, exclusions, and premiums. Transparency also fosters a better client-agent relationship, ensuring that clients can make informed decisions based on their individual needs and circumstances.

By providing clear and honest information, agents can help clients navigate the complexities of insurance products, addressing any questions or concerns they may have. This practice not only complies with ethical standards but also aligns with regulatory expectations for fair and proper selling practices in the insurance industry. Being upfront about policy details ultimately enhances customer satisfaction and helps clients choose the policies that best fit their needs.