If your referral program ever involves calling or texting customers — even a friendly "hey, want a quick insurance quote?" — the Telephone Consumer Protection Act (TCPA) applies to you. The TCPA is a federal law with real teeth: violations are measured per call or text and can add up fast. The good news is that the core rules are learnable. This is a plain-English overview and it is educational, not legal advice — confirm your specific outreach practices with qualified counsel.
What is the TCPA and who does it cover?
The TCPA regulates how businesses contact consumers by phone call, text message, and fax, with the central goal of protecting people from unwanted outreach. It applies broadly to marketing communications — and a referral nudge that promotes an insurance offer is generally marketing.
Crucially, the TCPA can reach referral partners, not just insurers. If you send the text or place the call inviting someone to get a quote, you're the one making the communication, and you carry responsibility for it. "But it's just a referral" is not a defense if you contacted someone without the right consent.
Rule of thumb: if you're reaching out to a consumer's phone to promote an offer, assume the TCPA applies and that you need consent — work backward from there.