The phrase leading up to the comma is a modifying phrase. When you open a sentence with a modifying phrase, the word after the comma should be whatever is being modified. Here, the modifying phrase is modifying something that was "Introduced by Italian merchants resident in London during the sixteenth century." So after the comma we need a thing (a noun or a noun-phrase) that could have been introduced to England in the 16th century.
The only answer choices that have a reasonable noun directly after the comma are D and E. (more on the all important modifier-at-the-beginning-of-a-sentence pattern below.
One key difference between D and E is the
and in D vs the
with in E. These words are connected to the
between that precedes them. It's idiomatic in standard written English to say 'between X and Y' (not between X with Y). In fact, it seems I unintentionally included that idiom at the beginning of this paragraph (one key difference between D and E...).
So E is gone. D is our answer.
But again, the highest point-yield pattern here is the modifying phrase at the beginning. So a bit more on that:
Many modifying phrases are participial phrases (phrases built around -ed, and -ing verb participles). Some examples:
Published in Chicago,____
Discovered in London,___
Hoping to influence voters,____
In each of these cases, the thing after the comma needs to be whatever is described before the comma. So, for practice, for each of the examples above, choose one of the two options for what follows the comma.
Published in Chicago,____ (the journalist... / the newspaper....)
Discovered in a lab at Imperial College in London,___ (Penicillin... / Alexander Fleming...)
Hoping to influence voters,____ (the politician gave an impassioned speech / an impassioned speech was given by the politition)
And:
Introduced by Italian merchants resident in London during the sixteenth century,____ (life insurance... / in England...)
[Answers: the newspaper, Penicillin, the politician, life insurance]