What must you have to be authorized to transact insurance business in Florida?

• A. Certificate of Authority
• B. Federal Employer Identification Number
• C. Insurance license
• D. Surety bond

Answer: (A)

In Florida, the entity that wants to issue insurance policies in the state must have official permission from the state regulator, granted through a Certificate of Authority. This certificate is the legal authorization for an insurer to operate, showing it meets financial and regulatory requirements to transact insurance within Florida. Without it, an insurer cannot legally issue policies or collect premiums. The other options don’t provide that broad authorization: a Federal Employer Identification Number is just a tax ID and doesn’t authorize insurance activities; an insurance license applies to individuals (like agents or adjusters) to transact on behalf of a licensed insurer, not to authorize the insurer itself; and a surety bond may be required in some licensing contexts but does not by itself grant permission to transact insurance.