House Bill No. [insert number] amends R.S. 22:1598(A) and (B) to expand the provisions regarding referrals for insurance sales. The bill allows both individuals and entities that are not licensed to sell insurance to refer consumers to insurance providers through various means, including telephone numbers, email addresses, websites, or direct referrals to insurance companies and their affiliates. This change broadens the scope of how referrals can be made, enhancing accessibility for consumers seeking insurance advice or products.

Additionally, the bill modifies the compensation structure for referrals. It maintains the prohibition against compensation being in the form of a sales commission or based on the referred consumer's application for insurance. However, it clarifies that this prohibition now applies to both individuals and entities making referrals, ensuring that compensation cannot be tied to the eventual purchase of insurance by the referred consumer. Overall, the bill aims to facilitate insurance referrals while regulating the compensation practices associated with them.

Statutes affected:
HB306 Original: 22:1598(A)