You are a customer service representative for an insurance carrier and receive a call from an irate customer that demands a refund as they do not agree with the recent rate increase on their auto policy. You do not have authority for this request so you take it to your immediate supervisor. Your supervisor tells you to make the refund with the stipulation that they purchase homeowners insurance from us. You give the customer the option and they agree. You make an adjusting entry for the exact amount the customer wants refunded. You then send them to the sales representative to complete the additional sale.

For the scenario above, determine if you feel the action is ethical. If unethical, does it violate any Unfair Trade Practice? Support your analysis by answering the 4 questions below:

1. Is it legal? Am I in compliance with the law or company policies or procedures?

2. Is it fair? Will the company or someone be negatively impacted by my action?

3. How does this action make me feel about myself? Would I want this action to be shared on social media?

4. How would I feel if I was treated this way?