Bill > S13

This bill clarifies the cap on referral fees for insurance business by modifying existing North Carolina law to specifically address who can receive referral fees and under what conditions. The legislation changes language from "licensed insurance agent or broker" to "producer licensed under G.S. 58-33-26(c1)(6)", which appears to more precisely define the type of insurance professional who can receive referral fees. The bill maintains the existing $50 maximum referral fee limit and potential fine of up to $2,000 for violations. Notably, the bill removes a previous exemption for title insurance, suggesting that the referral fee cap will now apply to title insurance referrals as well. The changes will take effect on October 1, 2025, and will apply to personal lines insurance business referrals made on or after that date. This modification aims to provide greater clarity and consistency in how referral fees can be handled in the insurance industry, ensuring that unlicensed individuals are not improperly compensated for insurance business referrals.

Business and Industry, Government Affairs

https://www.ncleg.gov/BillLookUp/2025/S13