Final answer:
An individual selling funeral expense insurance who must be licensed by the state is an insurance agent. Occupational licensing is critical to ensure that insurance agents meet designated educational and professional standards, as is the case with many professions.
Step-by-step explanation:
An individual engaged in the solicitation, negotiation, or sale of funeral expense insurance who is required to be licensed by the state is known as an insurance agent. State regulation of the insurance industry establishes the need for such licensing to ensure that insurance agents meet certain educational and professional standards.
The U.S. insurance industry is regulated at the state level, and state regulators work to keep insurance prices low while ensuring widespread coverage. This regulation helps maintain a standard of quality and professionalism among sellers of labor, such as insurance agents, similar to other professions that require occupational licenses including doctors, teachers, and engineers.