In which situation is a producer license not necessary?

A producer license is primarily required for individuals engaged in the sale of insurance products, which includes directly selling insurance policies or soliciting applications. Therefore, options like selling insurance policies would definitely require a producer license.

However, providing referrals does not necessitate a producer license because it generally involves merely connecting potential customers with licensed producers or insurers without engaging in the actual process of selling or advising on insurance products. This kind of activity is often considered to be at a lower regulatory threshold, as it does not entail the administration, management, or sale of insurance policies in a direct manner.

In contrast, working for an insurer typically involves duties that might include selling policies or managing them, which would require a license. Similarly, conducting audits usually relates to ensuring compliance or assessing the performance of insurance products but does not involve engaging with customers in the manner that requires licensure. Therefore, the act of providing referrals stands out as the situation where a producer license is unnecessary.