Maintaining Compliance


September 16, 2019

Trust and integrity are of utmost importance as an insurance agent. Your clients need to know you are offering them a product with their best interests in mind. While protecting them, you are building a reputation that they would want to share with their friends, and in turn, building your business through referrals. You are not only protecting your clients and those you represent, but are obligated by the license you hold to act in the client’s best interest. While there may be occasions when carriers make inquiries due to consumer allegations, there are ways you can minimize the amount of issues that arise:

  • You must be contracted and properly certified to sell the products you are offering.
  • Read and discuss all questions on an application. Most importantly, answer all questions honestly and accurately.
  • Retain notes and records of all conversation with the insured, or proposed insured. These notes, later on, will be your best information should an allegation be made about a sale. Reminder- All notes that contain PHI or PII must be kept secured, or encrypted digitally.
  • Be sure only the insured signs the documents, or initials any changes on an application. Do not be tempted to initial a change on an application on their behalf, whether they have given you permission or not. Such conduct can be considered illegal, unethical and fraudulent. No one else should answer these questions unless the carrier allows a documented POA to do so.
  • Never use white-out on an application. You may cross out an answer and have the insured initial the change.
  • If you tell an insured you will do something for them, such as assist with filling out claims paperwork, or drop off information, be sure to follow through with it. Return phone calls within 24 hours.

As always, we thank you for your support and cooperation. For questions or comments, please email us at or you may call the toll-free number listed below.


Compliance Updates | 2650 McCormick Drive | Clearwater, FL 33759 | 844.206.2927

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