An individual who holds a life-only agent license in California is authorized to transact:

An individual who holds a life-only agent license in California is specifically authorized to transact life insurance and annuities. This license enables the agent to sell various types of life insurance policies, including whole life, universal life, and term insurance, as well as annuities, which are financial products that provide a stream of income, generally used for retirement purposes.

The focus of a life-only agent license is on products that fall under life insurance and related annuity products. This does not extend to other types of insurance, such as disability insurance or long-term care insurance, which require additional licensing. Therefore, the correct answer rightly identifies the scope of authority given by a life-only agent license in California.