How must an agent handle the sale of insurance to avoid "twisting"?

The sale of insurance must be handled with integrity and transparency to avoid the unethical practice known as "twisting," which involves persuading a policyholder to replace an existing policy with a new one for the agent's benefit rather than the client's. The correct approach is to provide a full disclosure of benefits and the terms of the original policies. This transparency is crucial because it allows clients to make informed decisions based on a comprehensive understanding of the advantages and disadvantages of their existing coverage compared to any new policies being offered.

By fully disclosing the benefits of both the new and original policies, the agent ensures that the client is aware of any potential risks or losses associated with switching their insurance, and this ultimately helps the client make a well-informed decision. This approach aligns with ethical sales practices and regulatory requirements designed to protect clients from deceptive practices in the insurance industry.