How to check an insurance agent's license in Texas

Where to look it up

TDI's lookup runs through the Customer Inquiry form on Sircon.com. You can search by the agent's name or license number and see their address, phone number, the types of insurance they're licensed to sell, and the companies they've worked with. TDI also offers a downloadable list of companies, agents and adjusters licensed in Texas.

If you'd rather not search, call the TDI Help Line at 800-252-3439. TDI says it can tell you whether a company or agent is licensed, how many complaints have been filed, and whether TDI has taken disciplinary action.

• Ask the agent for their full legal name and Texas license number, and the agency's name and license number.
• Search both the person and the agency; an agency has its own license.
• Check that the license is active and covers the kind of insurance you're buying.
• Check the insurance company too, using TDI's company lookup.

What the license types mean

Texas licenses agents by line of business. The ones you're most likely to see:

Match the license to what you're buying

Under Insurance Code Section 4051.051, someone who writes property and casualty insurance needs a general property and casualty license, unless they hold a personal lines license and stay within its scope. Section 4051.401 limits the personal lines license to coverage sold to individuals and families primarily for personal or household use.

So if you're buying a business policy, a personal lines license alone isn't enough. If you're buying life insurance or a mortgage protection policy, look for the life, accident and health authority. A P&C license doesn't cover life insurance, and the reverse is also true.

How Texas agents get licensed

TDI describes the process as passing a state exam, getting a fingerprint background check through IdentoGO, and applying within one year of passing the exam. Agents apply through Sircon or the National Insurance Producer Registry (NIPR). Agents licensed in another state can apply for a Texas non-resident license.

That background check is one reason the lookup matters: a license tells you the state has vetted the person and can discipline them if something goes wrong.

Red flags TDI tells you to watch for

We'd add: be wary if someone won't give you a license number, if the name on the license doesn't match the person you're dealing with, or if you're asked to pay a premium to a personal account instead of the insurer or a licensed agency.

• Someone calling you out of the blue or using high-pressure sales tactics.
• Prices much lower than you've seen anywhere else.
• Anyone asking you to pay in cash or to sign a contract with blanks.

Why it matters before you buy

TDI's point is simple: selling insurance without a license is illegal, and an unlicensed company might not pay your claim. You usually find out whether coverage is real only when you need it, which is the worst time to learn the policy was never placed.

Checking also tells you what kind of help to expect. An agent licensed only for personal lines can quote your home and car but not your business. An agent appointed with several companies can compare options, while one who works for a single company sells only that company's policies, as TDI explains in its guide to choosing an agent.

• Before you sign: confirm the agent's license, the agency's license and the insurance company's license.
• When you pay: pay the insurer or the licensed agency, by a method that leaves a record.
• After you buy: make sure you receive the policy or declarations page from the company, not just a receipt.

If the license doesn't check out

Don't pay or sign until it's resolved. Sometimes there's an innocent explanation, such as a recent name change or an agency doing business under a different name, and a licensed agent can show you the license record that matches. If not, call TDI at 800-252-3439. TDI handles complaints about agents and adjusters it regulates, and it's the right place to report someone selling insurance without a license.