Also, in an old New York decision dating back to 1933, a court ruled that Ukrainian holders of Russian life insurance policies were not in default by virtue of their failure to pay premiums to an American- based insurer as a result of the upheavals caused by the Soviet Revolution and the consequent closing of the insurer's Russian office. However, the decision was later reversed. There are occasions when premium can come in after the policy has incepted, through the payment of installment premium, or of premium audit assessments, or of premiums owed retroactively after the policy has expired. There are several types of fees that should not be confused with premiums. Service charges, inspection fees, and consulting fees are sometimes charged in addition to the premium.
States vary considerably as to how they treat such fees.
Some states absolutely prohibit such fees. Other states limit how they may be imposed. For example, in Illinois, a service charge must be evidenced by a written document signed by the insured, showing the amount of the charge. Some states require additional proof that the size of the fee is reasonable. Several states allow consulting fees, or commissions, but not both.