Which of the following can be considered a breach of a producer's duties?

Acting outside the scope of their authority can be considered a breach of a producer's duties because producers are expected to operate within the parameters set by their licensing agreements and the insurance companies they represent. Each producer must adhere strictly to the authority granted to them, which typically includes outlining the types of business activities they can engage in, the products they can sell, and the decisions they can make on behalf of the insurance company.

When a producer exceeds their authority, it can lead to unauthorized transactions, which may expose the insurance company to liability or cause harm to clients who may act on this misinformation or unauthorized actions. This breach undermines the trust essential in the insurance relationship and could potentially lead to legal consequences or disciplinary actions against the producer.

In contrast, following insurance company guidelines, providing accurate information to clients, and submitting claims for clients are all fundamental responsibilities that a producer should fulfill and generally do not constitute a breach of duty. These actions are typically in line with ethical practices and the standards of the industry, further reinforcing the proper functioning of the insurance process.