Estoppel is best exemplified by which of the following?

Estoppel is a legal doctrine that prevents a party from denying or asserting something contrary to what has already been established as truth by their own actions or statements. In this case, the situation where an insurer is prohibited from denying a claim because its appointed producer advised the insured that the claim was covered is a clear example of estoppel.

This concept arises in insurance contexts when an insurer's representative (such as a producer or agent) provides information or assurances that lead the insured to form a reasonable belief about coverage. If the insured relies on that representation and submits a claim, the insurer cannot later deny the claim based on a lack of coverage if doing so would be unfair or misleading, given the prior assurances provided by its representative. Essentially, it reinforces the idea that insurers must honor the statements made by their agents, particularly when those statements affect the decisions of the insured.

The other choices do not illustrate the concept of estoppel. Changes in coverage limits and the necessity for an insured to report claims within a certain timeframe pertain to the operational aspects of insurance policies but do not invoke principles of estoppel. The requirement for annual renewal likewise relates to policy duration rather than to representations made that could lead to an equitable claim based on reliance.