Insurance companies may sell policies directly to individuals or through what channel?

• A. An employer's benefits plan
• B. A government program
• C. A private bank
• D. A university program

Answer: (A)

Insurance products are frequently sold through employer-sponsored benefits plans. This channel works well because a group of employees can enroll under one negotiated policy, often at lower costs due to the group size, and administration is streamlined for both the employer and the insurer. It provides coverage as part of the job, making it convenient for employees.

Other options are less typical as broad sales channels. Government programs are run by public agencies and funded through taxes or public premiums rather than private insurers selling directly to individuals. Private banks may offer insurance as part of their services, but it isn’t the primary distribution method for personal policies. Universities can provide insurance options, but these are usually limited to students or staff and not the standard channel for selling policies widely.