33.8k views
5 votes
To avoid confusing or misleading a consumer, what type of information must the agent provide when presenting a plan?

a.Complete
b.Accurate
c.Unsubstantiated
d.Factual

1 Answer

4 votes

Final answer:

An agent must provide accurate and factual information when presenting a plan to avoid misleading consumers, adhering to FTC regulations and the principle of 'Caveat emptor.'

Step-by-step explanation:

To avoid confusing or misleading a consumer, an agent must provide information that is accurate and factual when presenting a plan. Providing accurate information ensures that the claims made about a product or service can be proven correct and are based on evidence and data. According to the Federal Trade Commission (FTC), which often checks factual claims about a product's performance, language and images in advertising may be exaggerated or ambiguous, but not actually false. Untrue “facts” are not permitted in advertising. As such, an agent must be diligent in ensuring the veracity of the information they share to avoid the dissemination of unsubstantiated claims, aligning with the principle of 'Caveat emptor' — or 'let the buyer beware.'

User Tanner Burton
by
8.1k points