What is it called when an insurance producer offers a shopping card as an incentive for purchasing a product?

The correct term for when an insurance producer offers a shopping card as an incentive for purchasing a product is rebating. Rebating refers to the practice of offering additional benefits or incentives, such as shopping cards or discounts, as part of the sales process to encourage customers to engage with a product. This practice is often scrutinized in the insurance industry, as it may violate regulations depending on the jurisdiction.

Understanding rebating is crucial, as it can have implications for ethical practices within the insurance field, and regulators may impose restrictions or prohibitions on such offers to ensure fairness in the marketplace. By recognizing rebating, producers can better navigate the regulatory landscape and maintain compliance while still seeking effective sales strategies.