Grace Is a Life Insurance Agent

question 39

Multiple Choice

Grace is a life insurance agent.She is attempting to sell a large life insurance policy,but the prospective purchaser is having second thoughts.To persuade the prospective purchaser,Grace said,"I will earn a $1,000 commission if you buy this policy.I'll give you $500 of my commission if you buy the policy." In most states,what illegal sales practice will Grace be guilty of if she splits her commission with the purchaser?

• A)rebating
• B)churning
• C)twisting
• D)backdating

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