E&O Annual Processing Fee.. A Common Rip-Off?

[AllenChicago]

Back in the "old" days, I accepted E&O Processing Fees without question. But now that I'm older, wiser and cynical towards big business, I'm questioning WHY NAPA E&O charges a $127.00 processing fee each January to renew my E&O another year.

Since the purchase is usually made electronically and all NAPA does is give you a link to print out the E&O Certificate yourself, isn't the $127 fee (to put it bluntly) little more than a rip-off?

All I've had is NAPA for many years... No claims. Do all companies charge an annual processing fee at renewal time? Thanks in advance for any constructive or informative feedback.

-Allen in Chicagoland

 

[senior-advisor-indiana]

Back in the "old" days, I accepted E&O Processing Fees without question. But now that I'm older, wiser and cynical towards big business, I'm questioning WHY NAPA E&O charges a $127.00 processing fee each January to renew my E&O another year.

Since the purchase is usually made electronically and all NAPA does is give you a link to print out the E&O Certificate yourself, isn't the $127 fee (to put it bluntly) little more than a rip-off?

All I've had is NAPA for many years... No claims. Do all companies charge an annual processing fee at renewal time? Thanks in advance for any constructive or informative feedback.

-Allen in Chicagoland

I have NAPA too and was actually thinking about getting a new carrier for next year.

 

[VolAgent]

I have NAPA too and was actually thinking about getting a new carrier for next year.

Man, if only there was someone to turn to, someone endorsed by the forum...

 

[senior-advisor-indiana]

Man, if only there was someone to turn to, someone endorsed by the forum...

I know. Sam should look into that...
- - - - - - - - - - - - - - - - - -

I know. Sam should look into that...

The advertisement on this page would save me $10 per year...

 

[dgoldenz]

The fee is probably the commission paid to the AOR, just like Humana pays the processing fee for dental/vision as the commission.

 

[senior-advisor-indiana]

Are the prices listed on the website at E&O For Less the preffered rates or the normal rates?

 

[VolAgent]

Are the prices listed on the website at E&O For Less the preffered rates or the normal rates?

There is a special rate for you. Just make sure you are sitting down first.

 

[senior-advisor-indiana]

There is a special rate for you. Just make sure you are sitting down first.

Ha Ha... Do any L&H agents pay less than $595? I pay $605 with NAPA.

 

[VolAgent]

Ha Ha... Do any L&H agents pay less than $595? I pay $605 with NAPA.

I think I bought through them, but not through this link as I bought back in early summer.

I paid more, but I also wanted tail coverage for securities, as well as FIA and DI coverage.

 

[redsquash]

Calsurance charge $460

Ha Ha... Do any L&H agents pay less than $595? I pay $605 with NAPA.