If the insurance purchaser meets the definition of an exempt commercial purchaser, which of the following describes when the surplus lines broker does not have to satisfy the state requirement to conduct a due diligence search for admitted insurance?

• A. Purchaser who employs a qualified risk manager to negotiate insurance coverage
• B. Purchaser has a credit rating of AAA
• C. Purchaser uses only reinsurance for all risks
• D. Purchaser who is a vendor in the supply chain

Answer: (A)