Which of the following actions is NOT classified as rebating?

Sharing commissions with a licensed agent is not classified as rebating because it involves a legitimate business practice within the insurance industry. In many situations, licensed agents may work collaboratively and share commissions as part of their business agreements or teamwork on customer accounts. This practice is permissive and regulated, especially when both parties are licensed and compliant with relevant insurance laws.

On the other hand, rebating refers specifically to offering something of value to an insured or potential insured as an inducement to purchase an insurance policy, which is generally prohibited under most state laws, including Florida. Actions like returning a premium to entice a sale or giving something of value in exchange for business fall under the definition of rebating since they aim to reward a customer for choosing one policy over another in a way that is not part of the standard commission structure.

Offering special dividends can also be seen as a form of rebating if they are used to persuade customers to buy policies, particularly if the dividends are not part of the standard policy terms or are not widely offered. Therefore, sharing commissions among licensed agents operates within the accepted framework of insurance practice, making it distinct from rebating practices that incentivize a sale by offering additional benefits to the insured.