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  1. #1
    LoraJL is offline Junior Member
    Join Date
    Feb 2009

    Paying Referral Fees

    What is the name of your state (only U.S. law)? FL

    Is it alright for Insurance companies to pay referral fees for new clients? I am not an insurance agent but because of the type of work I do in the mortgage industry, I frequently run across folks that are in need of homeowner's insurance or are paying really high rates for their current coverage. ( mostly seniors)
    My question is: is it allowable for companies to pay a fee if I would refer someone to them and they open an account?

    I would not want to do anything unethical or illegal.

    Thank you for your help

  2. #2
    moburkes is offline Senior Member
    Join Date
    Nov 2005
    South Cackalacky
    In most states the answer is no, although I was just notified that it is now legal in AL, as long as the referrer receives a nominal fee whether or not the customer purchases the policy. Also, you asked specifically about an insurance company providing a fee to you, but it would be illegal if an insurance agent provided that fee to you.

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    Originally Posted by arazi
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