Which statement about terminating carrier appointments between ARC agencies and ARC participating carriers is true?

Which statement about terminating carrier appointments between ARC agencies and ARC participating carriers is true?

• A. It can be terminated only with mutual consent in writing.
• B. It can be terminated by ARC without notice.
• C. It cannot be terminated at any time.
• D. It can be terminated at any time by notice in writing from one party to the other.

Answer: (D)

The main idea is that termination rights for ARC carrier appointments are flexible and require formal written notice. Either party can end the relationship by sending a written notice to the other, which creates a clear, official end date and protects both sides with a proper record. This unilateral ability to terminate with notice keeps the process orderly without needing mutual consent, and it isn’t described as something that can’t be terminated or done without notice. So, the statement that termination can occur at any time by written notice from one party to the other accurately reflects how these appointment terms are designed to operate.

The main idea is that termination rights for ARC carrier appointments are flexible and require formal written notice. Either party can end the relationship by sending a written notice to the other, which creates a clear, official end date and protects both sides with a proper record. This unilateral ability to terminate with notice keeps the process orderly without needing mutual consent, and it isn’t described as something that can’t be terminated or done without notice. So, the statement that termination can occur at any time by written notice from one party to the other accurately reflects how these appointment terms are designed to operate.