Final answer:
Colorado insurance producers are prohibited from charging extra fees for issuing policies and endorsements, as these services are included in the commissions they earn. Other services such as investment counseling, financial planning, and administering retirement plans also cannot be charged as additional fees beyond the standard commission.
Step-by-step explanation:
The question concerns the regulations surrounding what Colorado insurance producers can charge beyond their standard commissions. Specifically, it asks about the prohibition of charging fees for certain services. According to the regulations, Colorado insurance producers are prohibited from charging additional fees for issuing policies and endorsements. This is because the issuance of policies and processing of endorsements are typical services covered by the commissions they earn from the insurance products they sell.
For clarity, the primary activities insurance producers may be involved in beyond commissions—and which are not allowed to be charged as additional fees—include:
- Investment counseling
- Financial planning services
- Issuing policies and endorsements
- Designing and administering qualified retirement plans
Among these options, the correct answer is (c) issuing policies and endorsements. Colorado insurance producers include these costs in their commissions, and they are not permitted to charge extra fees for these particular services.