Which action mandates that an individual must be a licensed producer?

The action that requires an individual to be a licensed producer is discussing premiums with a potential insured. This requirement is rooted in the regulations that govern the insurance industry, which are designed to protect consumers and ensure that they receive proper guidance about their insurance products.

When someone discusses premiums, they are engaging in a specific form of insurance activity that involves advising the potential insured on the costs associated with obtaining insurance coverage. This interaction often requires a deep understanding of not only the insurance products but also the specific needs and circumstances of the client. By requiring a license to discuss premiums, the law ensures that individuals who provide such information are adequately trained, knowledgeable, and hold the necessary credentials to operate within the insurance market safely and lawfully.

Investing money for clients, providing general financial advice, and performing market analysis do not inherently require an insurance producer's license, as they can fall under broader financial planning or advisory activities that may not be specific to insurance products alone. Each of these actions may involve financial advising or analysis but does not necessarily mean the person must hold a license related to insurance production specifically.