Wayne put it correctly but the bottom line is the GC doesn't want to pay extra for the AFCI's.
He is like ever other GC that is doing large track homes. The cheaper he can do them and the more he can beat the subs down the more $$$ in his pocket.
He wants you to disregard what the code calls for under the guise of "codes wont apply" since you do not have inspections. He wants you to carry the burden of a code violation so he can line his pockets.
So the EC does the install W/O AFCIs per the GC and there is an incident do to the lack of AFCIs. The EC knowingly did the install w/o AFCIs who is liable? They are going to hall everybody into court.