a. The insurance industry is a professional industry that is highly regulated and prone to legal and ethical concerns.
b. Legal and ethical concerns are limitless, but the most common concerns relate to breach of contract and fraud (i.e. the contracts between the agents and the carriers they represent and fraudulent claims filed by policyholders).
II. A description of a business situation that presents a legal and ethical issue.
a. Responsible for pricing the risk through a thorough analysis.
b. Dependent upon agents who are responsible for gathering pertinent information from prospective policyholders.