Minnesota Insurance Agency Fees Charged to Customers

Minnesota is Wide Open for Insurance Agency Fees

Here is the link to the pertinent law...

https://www.revisor.mn.gov/statutes/cite/60K.46

I have read every state's insurance code with a particular focus on what fee insurance agents can charge their insureds in addition to the policy premium. Minnesota is about as accommodating as any state.

Minnesota does require written disclosure, but the disclosure does not require the insured's signature.

The final clause that "all fees charged are reasonable in relations to the services rendered" may also create some theoretical upper limit on the dollar amount.

Here is the text of the law as of this writing.

"Subd. 2.Fees for services.

No person shall charge a fee for any services rendered in connection with the solicitation, negotiation, or servicing of any insurance contract unless:

(1) before rendering the services, a written statement is provided disclosing:

(i) the services for which fees are charged;

(ii) the amount of the fees;

(iii) that the fees are charged in addition to premiums; and

(iv) that premiums include a commission; and

(2) all fees charged are reasonable in relation to the services rendered."