Which of the following is an example of "Implied Authority"?

Implied authority refers to the ability of an agent to perform actions that are not explicitly outlined in a contract but are necessary to fulfill the agent's duties. In this context, the correct answer identifies collecting premiums not mentioned in a contract as an example of implied authority. This action is typically considered within the scope of an agent's duties since collecting premiums is a fundamental part of the insurance transaction process.

An agent often has the implied authority to carry out necessary tasks to conduct business effectively, which can include collecting necessary fees to maintain the insurance policy. This authority allows agents to act in ways that support the insurer’s interest, even if those actions aren't specifically detailed in the written agreement.

The other options, while related to the responsibilities of agents, are typically not characterized as implied authority. For instance, signing contracts on behalf of the insurer generally requires explicit authority, as this is a significant action that impacts the insurer's legal obligations. Similarly, setting premium prices and negotiating with underwriters involve strategic decisions that are beyond the routine operational actions an agent might take without direct permission. Such actions require explicit authority established by the insurer to ensure compliance with regulatory and business standards.