As freight forwarding is marking up cargo insurance rate allowed? Is it againts the law?

Question : As freight forwarding is marking up cargo insurance rate allowed? Is it againts the law?
Cargo insurance rate premium from underwriter can be mark up by the broker and at the same time by freight forwarding is this allowed and if not is there any law against this. Or article in regards to this.
cargo insurance

Best answer:

Answer by california bill
No if they cal it only “insurance” or “Shipping”. They get around it (just like the high shipping costs when you buy things through the mail or TV) by calling it Shipping and Handling. Any excees over their cost of Shipping can be attibuted to the cost of “handling.” Most FF use the cargo insurance as a profit center marking it up as high as the market will bear. You can get your own cargo policy if you ship alot. The typical rate is 25 cents per $ 100. of values. The kicker is the miniumum pemium is around $ 2,500 per year so you have to be spending more than that with a FF if you are to save any money.