What practice is legal under Colorado insurance law?

The practice of comparing different insurance policies is legal under Colorado insurance law because it falls within the permissible activities of licensed insurance producers. Licensed agents and producers are expected to assist clients in understanding their options when it comes to insurance products. By comparing various policies, they provide valuable information that helps clients make informed decisions based on their individual needs and financial situations.

The role of an insurance producer is to facilitate a clear understanding of the products available in the market, outlining the benefits and drawbacks of different insurance options. This not only helps clients choose the right policy but also fosters transparency in the insurance process.

In contrast, soliciting insurance without a license is illegal, as it violates regulatory requirements meant to protect consumers. Similarly, paying a fee to unlicensed individuals for services is also prohibited, as it undermines the integrity of the insurance profession and could lead to malpractice without proper oversight. Inquiring about an applicant's sexual orientation can raise significant ethical and legal concerns, relating to discrimination policies and practices, which is not permissible under insurance regulations.