Licensing Question

[joshril]

Both TX and WA issue a non-residence license if you hold a valid residence license.

What you are asking is if you can hold a non-res in TX. What's the point?

1. If you are only doing biz in TX, why get a WA license just so you can sell in TX where you already hold a license?
2. If your residence lic is in TX, why bother getting a non-res in TX, too?

I'd just continue as you are, a Texan selling policies to Texans.

If I change my address to the Washington address... (which is where I need my mail to come) Texas will convert my license to a non-resident license. I will then hold NO resident insurance licenses. I don't intend to sell to Washingtonians; only Texans..

So, my questions is... can I solely hold a Texas non-resident license, sell insurance via telephone from Washington but only marketing to Texans, and be in compliance?

 

[Expat]

How about renting a post office box (In Texas) and using it for your address?
Just have a friend check it and forward your mail.

 

[joshril]

That could be done. I would just hate to have to count on someone getting my mail to me. Especially official state business.

 

[Ahnuld]

How about renting a post office box (In Texas) and using it for your address?
Just have a friend check it and forward your mail.

Sounds plausible. However, If you apply for a non-res to WA, you will need a permanent license from your resident state, e.g. TX.

What would I do? I would get a permanent address in TX (family or friend), file a change-of-address to that address in TX (TX Ins Lic, E&O, etc) and get that non-residence license to WA. No one will know that you do not reside in TX. As to your mail, get a local PO Box in WA as Expat suggests and go pick it up yourself. If you have not done so already, open an online bank account so that you can have your commission checks EFT to your bank account.

___________________________________________________________
This is what WA DOI has to say about getting a non-res: http://www.mrsc.org/mc/rcw/RCW 48 TITLE/RCW 48 . 17 CHAPTER/RCW 48 . 17 .173.htm

"RCW 48.17.173 Nonresident license request -- Conditions for approval -- Service of legal process. (Effective July 1, 2009.)
(1) Unless denied licensure under RCW 48.17.530, a nonresident person shall receive a nonresident producer license for the line or lines of authority under RCW 48.17.170 which is substantially equivalent to the line or lines of authority granted to the nonresident person in the person's home state if:
(a) The person is currently licensed as a resident and in good standing in the person's home state..."​

Hopefully, this is helpful.

 

[arnguy]

Just get the WA resident license and convert your TX license to non-resident. Stop agonizing and get it done----it appears you are making a mountain out of a molehill. There is no shame in having a WA resident license even if you do not sell in WA. I am sure it is not expensive and because of reciprocity there should be no problems. BTW you can have all your business and banking mail sent to your new WA address without any difficulty arising.

 

[joshril]

Just get the WA resident license and convert your TX license to non-resident. Stop agonizing and get it done----it appears you are making a mountain out of a molehill. There is no shame in having a WA resident license even if you do not sell in WA. I am sure it is not expensive and because of reciprocity there should be no problems. BTW you can have all your business and banking mail sent to your new WA address without any difficulty arising.

The problem is Washington wants a letter of clearance. That means I have to get a letter from TDI stating I do not have a resident license with them.

I also have to take some stupid 4 hour class to avoid having to take an exam.

I have to drive down to Olympia if I want any of this done in a timely fashion and it sounds like there are only a few people working for the Washington DOI.

I am also required to pay a fee.

What would be the point of doing all that for a license I will never use?

I am just trying to confirm from someone that knows the Texas law whether the info I received from the DOI is true; that I do not have to have a resident license in another state.

To add insult to injury, I only spend about 8 months out of the year in Washington; the rest will be in TX.

BTW, I am definitely attempting to perform my due diligence. I have sent TDI an email trying to confirm what the rep told me via phone... still awaiting a response on that one.

 

[Ahnuld]

This is a mountain out of mole hill, tempest in a teapot, etc. For all intents and purposes, you are on vacation attending to your business in TX while you are out-of-town. Keep your TX license and do business in TX over the phone. You ONLY need a non-res to sell to WA clients.

Let me share my experience in WA: I practice in CA. My dad wanted me to sell him insurance. I sold my pops a policy. Pops moved to WA to retire. Dad passed. I was the executor and trustee of the estate. I was up there for about 3-months; I lived in his house as my residence (I received mail up there, too). I still had an insurance business to run in CA. I lived in WA without a "non-res" because I only did business in CA over the phone. What difference does it make if it's for 3-months or 8-months? Nothing. (When I vacationed in HI, I did not get a HI non-res, since I sold only to CA clients from my laptop on the beach, and not to Hawaiians, so I did not need one).

It appears you are going to have two resident states, WA and TX Pick one. I would pick TX, you are already covered. Just make sure your E&O is up to snuff.

I posted this info on WA licensing regs earlier. If you are never going to sell to WA clients anyway and only to clients in TX, you only require a non-res to sell to citizens who reside in WA or any other state outside of TX, for that matter.

 

[arnguy]

Oh, I thought you were going to reside in WA year around. I think Ahnuld laid it out quite succinctly. We have snowbirds here on the east coast who spend 3 or 4 months in FL. In the summertime they go to the NJ seashore for 2 or 3 months. They still can conduct business here in PA. It is the state tax man who takes a close look as to where you establish your domicile----usually depends on where your local or state taxes are paid, where you vote, and probably where you live most of the time. When it comes to taxes on a decedent's estate, a problem often arises between the states.

 

[Ahnuld]

Oh, I thought you were going to reside in WA year around. I think Ahnuld laid it out quite succinctly. We have snowbirds here on the east coast who spend 3 or 4 months in FL. In the summertime they go to the NJ seashore for 2 or 3 months. They still can conduct business here in PA. It is the state tax man who takes a close look as to where you establish your domicile----usually depends on where your local or state taxes are paid, where you vote, and probably where you live most of the time. When it comes to taxes on a decedant's estate, a problem often arises between the states.

I neglected to mention income taxes. Fortunately, WA hasn't any nor does TX. arnguy, thank you for mentioning those other imponderables for consideration, e.g. voter registration. In CA, nothing triggers jury duty faster than voter registration, your driver's license and car registration.

If all else fails, don't lose your TX Drawl and I think you will have all your bases covered. You don't mess with TX...or so I hear tell, y'all.