February 18, 2025 - The regulatory landscape for insurance marketers took an unexpected turn on January 24 when the Federal Communications Commission (FCC) officially postponed the enforcement of its 1-to-1 Consent Rule for up to 12 months.
But just hours later, the Eleventh Circuit Court of Appeals went a step further — vacating the rule entirely. This ruling effectively nullifies the FCC’s attempt to require direct, individual consent from consumers for each specific company contacting them, a move that would have significantly reshaped the lead-generation ecosystem.
What to Know About the Rule Change
For those keeping track, the FCC’s 1-to-1 Consent Rule was set to drastically alter how insurance providers and other businesses conduct outbound marketing — especially in regards to robocalls. The rule required direct, individual consent from consumers for each specific company contacting them.
For example, this meant a lead generated for one insurance agency could not be shared or sold to others without separate consent — a pivotal shift in the lead-generation ecosystem.
However, the industry pushed back. The Insurance Marketing Coalition, along with other stakeholders, raised concerns about the feasibility of these changes, citing compliance challenges and economic impact.
Their challenge led to the Eleventh Circuit’s decision to vacate the rule entirely, arguing that the FCC had exceeded its authority under the Telephone Consumer Protection Act (TCPA).
At this time the FCC hasn’t indicated any intent to appeal the ruling. Until such steps are taken and result in a different outcome, the 1-to-1 Consent Rule remains vacated and unenforceable.
How This Rule Affects Melon Local
Although this rule is no longer in effect, the shift toward consumer-first marketing isn’t slowing down.
At Melon Local, we’re always several steps ahead of the competition when it comes to maintaining industry compliance and transparency.
While we aren’t currently a traditional lead provider, our One in a Melon team knows what it takes to generate business through proven digital ad strategies, organic search optimization and personalized social media management.
If you’re ready to discover the future of digital marketing today, then let’s talk!