Which of the following is true regarding commission sharing by insurance agents?

Commissions can only be shared with a duly licensed person, which aligns with regulations governing the insurance industry. This stipulation ensures that only individuals or entities that have met the necessary licensing requirements—demonstrating their capability and adherence to the standards of the industry—are involved in commission sharing arrangements. By restricting commission sharing to licensed individuals, the industry aims to maintain professionalism and accountability, which ultimately protects consumers and upholds the integrity of the insurance market.

In contrast, the other options present scenarios that either misinterpret the regulations or suggest practices that are not allowed. Sharing commissions with anyone who helped solicit the contract could lead to unlicensed individuals receiving payments, which is against regulatory standards. Claiming that an agent can never share commissions with another agent disregards the legal framework that permits licensed agents to collaborate on deals under certain circumstances. Lastly, stating that commissions can only be shared among agents appointed by the same insurer is too restrictive, as it doesn't account for agreements where licensed agents from different insurers may collaborate legally.