Can I be licensed as an agent with various insurance companies but have commissions paid toan LLC without being an owner in the LLC?

Get Legal Help Today

secured lock Secured with SHA-256 Encryption

Can I be licensed as an agent with various insurance companies but have commissions paid toan LLC without being an owner in the LLC?

We are setting up an LLC with my wife as the owner. I am going to be selling life insurance and annuities.

Asked on July 26, 2011 Florida

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 11 years ago | Contributor

Most likely the answer would be "no" to your question. You need to contact the Department of Insurance in your state of Florida for the definitive answer in that most states in this country require that the licensed person fror whom insurance is being placed through and who is ultimately responsible for the licensing requirements has to have an ownership interest in the entity through whom the insurance is being placed.

Such a requirement helps eliminate "rented brokers" for an insurance brokerage where the licensee is actually on site and available to personally review the individual placement of insurance and oversee day to day operations of the business that the licensee has a personal stake in.

I suggest you be listed as having an ownership stake in the limited liability company that is being set up.


IMPORTANT NOTICE: The Answer(s) provided above are for general information only. The attorney providing the answer was not serving as the attorney for the person submitting the question or in any attorney-client relationship with such person. Laws may vary from state to state, and sometimes change. Tiny variations in the facts, or a fact not set forth in a question, often can change a legal outcome or an attorney's conclusion. Although AttorneyPages.com has verified the attorney was admitted to practice law in at least one jurisdiction, he or she may not be authorized to practice law in the jurisdiction referred to in the question, nor is he or she necessarily experienced in the area of the law involved. Unlike the information in the Answer(s) above, upon which you should NOT rely, for personal advice you can rely upon we suggest you retain an attorney to represent you.

Get Legal Help Today

Find the right lawyer for your legal issue.

secured lock Secured with SHA-256 Encryption