What does solicitation of an insurance contract include?

The solicitation of an insurance contract typically involves the act of providing potential clients with information that would encourage them to purchase insurance. This can include showing them various options, rates, and policies available in the market. By disseminating information about rates, an agent or insurer helps prospective clients understand their options, which is a critical part of the sales process.

While negotiating contract terms, signing the policy, and estimating coverage needs contribute to the overall process of acquiring insurance, these actions go beyond the initial phase of solicitation. Negotiating entails discussing and finalizing terms after a potential client has shown interest, signing the policy represents the culmination of the insurance purchase process, and estimating coverage needs is usually part of the advice-giving phase rather than direct solicitation. Therefore, dissemination of information regarding rates directly aligns with the definition of solicitation in the context of insurance contracts.