Effective September 1, 2025, the state of Texas has significantly expanded the Texas Telephone Solicitation Act (SB 140). These changes affect how businesses—including insurance agencies—conduct outreach by phone, text, or digital messaging.
Key Changes Under SB 140
- Expanded Scope: The law now covers calls, SMS, MMS, and other digital outreach—not just phone calls.
- Registration Requirements: Most businesses must register with the Texas Secretary of State (SOS) before soliciting Texas residents.
- Exemptions: Registered financial firms and licensed insurance agencies/agents are generally exempt.
- Vendors: If you use third-party call centers, marketers, or lead vendors in Texas, those vendors may need to register.
- Calling Hours: Contact is limited to 9 AM – 9 PM Monday–Saturday and noon – 9 PM Sunday.
- Disclosure Requirements: At the start of every call/text, you must immediately identify yourself, your company, and the purpose of the outreach.
- Do-Not-Call (DNC) Compliance:
- National DNC Registry
- Texas DNC List
- Internal DNC requests (must be honored for 5 years from the date of request)
Compliance Risks
Violations carry serious consequences:
- Texas Attorney General enforcement
- Private lawsuits under the Texas Deceptive Trade Practices Act (DTPA) with treble damages, mental anguish claims, attorney’s fees, and repeated recoveries for ongoing violations
Broker Takeaways
- If you operate as a licensed insurance agency in Texas, you are generally exempt from SOS registration—but your vendors may not be.
- You must update compliance programs to include text and digital messaging in addition to calls.
- Always verify vendor compliance, include strong compliance language in contracts, and maintain detailed records in case of audits or challenges.
Bottom Line: Compliance with SB 140 is mandatory for everyone doing outreach in Texas. Even exempt agencies must respect disclosure rules, calling hours, and DNC lists.
Download the Compliance Checklist & Quick Reference Table
For questions, Contact us at agents@taia.us or call us at 844-998-7878