Final answer:
The insurance salesperson in the agency system who legally represents the insurer is known as the insurance agent. They sell insurance policies and advise clients on coverage options.
Step-by-step explanation:
In an insurance transaction, the insurance salesperson in the agency system who legally represents the insurer is known as the insurance agent or agency producer. Insurance agents have the authority to act on behalf of the insurance company, which they represent, and their primary role is to sell insurance policies to clients. They are the ones responsible for facilitating the process between the insurer and the insured, helping clients understand different insurance coverage options, and often advising them on selecting the most appropriate policies for their needs.