Which form of agent authority does not require express permission from the insurer?

Implied authority refers to the powers that an insurance agent possesses without explicit instructions from the insurer. This authority arises from the nature of the agent's role and is assumed to exist due to the responsibilities typically associated with that position. For instance, if an agent is given the task of selling insurance policies, it is understood that they have the authority to negotiate terms and bind coverage in situations that reasonably align with their duties, even if those specific actions weren’t directly authorized.

This type of authority allows agents to operate efficiently within their roles, facilitating swift transactions and responses to client needs, without the constant need to seek express permission for everyday decision-making. Consequently, it streamlines the process of insurance sales and customer service, as they can act in the best interest of both the client and the insurer based on the broad scope of their assigned responsibilities.

In contrast, express authority requires clear and direct permission from the insurer for specific actions. Apparent authority involves the perceptions of third parties and what powers they believe an agent possesses based on the insurer's conduct, while limited authority defines constraints placed on an agent’s abilities. Each of these forms has its distinct characteristics, but implied authority stands out by allowing agents to fulfill their roles without the need for express consent for every