What "beneficiary by class" means.
A class designation identifies beneficiaries by group description, not by individual names.
Examples include:
"Children of the insured"
"Surviving spouse"
How benefits are paid.
Members of the class who qualify at the insured's death receive proceeds.
Shares are divided equally unless stated otherwise.
Evaluate each option.
A). Business life insurance
Incorrect. Class designation can be used in personal policies.
B). No primary beneficiary allowed
Incorrect. A class can be a primary beneficiary.
C). Individuals not named
Correct. The class is described, not named individually.
D). Unrelated beneficiaries
Incorrect. Class members are often family.
Maryland relevance.
Maryland recognizes class designations as valid beneficiary arrangements.
Conclusion.
A class designation means beneficiaries are not named individually.

Disciplinary authority of the Maryland Insurance Administration (MIA).
The MIA has authority to discipline producers for misrepresentation, deceptive practices, and unfair trade practices.
Review each action carefully.
A). Misleading statements about an insurer's financial condition
Prohibited; constitutes misrepresentation and unfair competition.
B). Hiding the true nature of a policy
A form of misrepresentation and possibly twisting.
C). Misleading statements about dividends
Specifically prohibited under insurance advertising and sales rules.
D). Filing a complaint on behalf of a consumer
Lawful and appropriate; producers may assist consumers in asserting their rights.
Good-faith and consumer advocacy.
Assisting a consumer with a complaint supports transparency and accountability.
Maryland law encourages reporting and remediation of improper insurer conduct.
Why option D is the exception.
Filing or assisting with a consumer complaint is not misconduct and is not grounds for discipline.
Conclusion.
A producer cannot be disciplined for filing a complaint on behalf of a consumer, making option D correct.

Purpose of underwriting selection criteria.
Underwriting evaluates risk factors that affect life expectancy and mortality.
Evaluate each option.
A). Age
A fundamental actuarial factor.
B). National origin
Prohibited. Maryland and federal law prohibit discrimination based on national origin.
C). Health status
A core underwriting factor.
D). Smoking habits
A valid mortality-related risk factor.
Maryland anti-discrimination rules.
Maryland law prohibits unfair discrimination unrelated to actuarial risk.
Conclusion.
National origin may not be used as an underwriting selection criterion.

Identify what an "adviser" does vs. what a "producer" does (conceptual distinction).
A producer (agent/broker) is generally licensed to solicit, sell, negotiate, or bind insurance and is typically compensated by commissions paid by insurers.
An insurance adviser/consultant is generally someone who is compensated by a client fee to provide advisory
/consulting services about insurance, rather than acting as the seller/placer of coverage for commission.
Evaluate each option against the adviser-vs-producer role.
A). Giving advice on policy coverages to an insured
Producers commonly explain coverages as part of selling/servicing policies. This is usually within the scope of producer activity.
So, this does not uniquely require an adviser license.
B). Charging a fee for contracted insurance advisory services
Charging a separate advisory fee under a consulting/advisory contract is the hallmark of an insurance adviser
/consultant function (fee-based advice).
Therefore, this activity is the one that points to needing an adviser license rather than a producer license.
C). Receiving commissions from an insurance company
Commissions are the standard compensation model for producers, not advisers.
So, this aligns with a producer license.
D). Binding insurance coverage with licensed insurers
Binding coverage is a classic producer/agent function (authority to place coverage).
So, this aligns with a producer license.
Maryland regulatory context tie-in (why this matters in practice).
Maryland's insurance framework recognizes licensed producer activity (e.g., the regulations define "licensed producer" in COMAR 31.15.07 as a person licensed under Maryland Insurance Article Title 10 Subtitle 1).
While your provided Maryland claims-handling document mainly covers unfair claim settlement practices and claims standards, it still reinforces that Maryland insurance activities are regulated and role-based (e.g., it defines licensed producer and regulates insurer/producer conduct in claims communications).
In a real-world compliance setting, charging a fee for advisory services is treated differently from being paid by insurer commission, which is why "adviser" licensing is associated with fee-based insurance consulting rather than selling/binding policies.
Bottom line.
Only Option B clearly describes the fee-based advisory/consulting activity that requires an adviser (consultant) license rather than a producer license.