Ensuring Compliance in Your Agency

It is imperative to stay on top of anything and everything compliance related. Not doing so can be costly to you and your business. The key is not to procrastinate. Procrastination can be defined as how one self-regulates a task then irrationally delays, even if there are adverse outcomes. Some helpful ways to remove this bad habit from your life is first to look inwards and think about why you are doing it in the first place. Are you forgetful? Maybe afraid of failure? Are you placing yourself in an environment where the optimum focus can occur? Next, you will want to find ways to hold yourself accountable for these actions, like setting notifications on your calendar or asking a supervisor or team-mate for regular check-ins. These steps are a great way to begin becoming proactive in the workplace!  


Here are some guidelines to ensure you remain in compliance with your business associates, government laws and regulations, and the insurance industry.


  1. Stay abreast of any changes to The National Association of Insurance Commissioners (NAIC) from streamline laws and regulations across all states. (https://content.naic.org/)


  1. Carve out time regularly to make sure you and your team are updated on insurance industry compliance issues. The most important being:
  • Data Protection and Cyber Security - Your customers rely on you to keep their information safe and secure. There should be a plan in place and how to respond if a breach occurs within your agency.
  • The Payment Card Industry - Accepting credit card payments most definitely gives your agency an advantage; however, there is much risk involved, so know the regulations governing payment cards and stay in compliance.


  1. If you are marketing and advertising your products and services online, it is your responsibility to follow the same rules and standards as traditional marketing. Below are some Do’s and Don’ts for Insurance Marketing according to “agentbrandingandmarketing.com”:
  • Don’t: Send Unsolicited Emails

The FTC’s CAN-SPAM ACT prohibits any business from sending unsolicited emails. This law covers bulk mail and any electronic mail message meant to promote a business or service or commercial advertisement. It does not make exemptions for B2B business email.  


  • Do: Get Permission to Contact Prospects

You need to ask your prospects if you can email them and get their permission clearly and concisely. 


  • Things to remember:
    • Don’t use false or misleading header information
    • Don’t use deceptive subject lines
    • Identify the message as an ad
    • Tell recipients where you’re located
    • Tell recipients how to opt-out of receiving future emails from you
    • Honor opt-out requests promptly


  • Don’t: Sell on Social Media

Insurance and financial services agents are limited to what and how they can advertise their products and services. For example, cold calling and going door-to-door are no-nos, soliciting at colleges, clinics, and certain places. Even stapling your business card to specific materials, like educational brochures, is prohibited. Many large insurance companies have their own set of rules of what agents can and can’t do or say online on social media sites, so make sure you check these before posting anything. Most likely, you cannot use your page for your agent page, so make sure you set up the correct type of page for you and your agency.


  • Do: Show Off on Social Media

Use social media as a tool to connect with your clients and potential clients. Share your personal and professional successes to help build a report with your followers.


  • Don’t: Share Personal Information

Giving away any personal information about your employees or clients is illegal.


  • Do: Build Your Online Reputation

Sharing thoughtful content and encouraging discussion by asking questions is a great way to build an excellent online reputation.


Compliance protects you, your business, and your employees, so it is essential to comply with laws and regulations on a national, local, and industry basis. Failure to adhere to the rules can be costly to your business. Rather than procrastinating and pushing your compliance responsibilities off to the last minute, stay on top of the ball to grant your organization stability and a better working environment.

Category: Agent Success