Which license type has restrictions on business types?

The correct choice regarding which license type has restrictions on business types is the temporary license. A temporary license is often issued to individuals who are in the process of obtaining their full license, allowing them to operate under certain limitations while they complete the necessary requirements. These limitations can include restrictions on the types of insurance products they can sell or the specific business activities they can engage in, ensuring that individuals are not fully active in the insurance market until they have met all regulatory standards.

In contrast, a regular insurance license allows individuals to operate without such restrictions, enabling them to engage in any type of insurance-related business for which they are qualified. A limited liability license typically does not impose business type restrictions in the same way but may limit the scope of the insurance products offered. A broker license allows individuals or firms to act as intermediaries without restrictions based on business type, as long as they have the appropriate certifications and comply with laws governing their practice. Thus, the nature of a temporary license inherently involves specific limitations designed to protect both the individual and the consuming public until full licensure is obtained.