What is the recoupment fee included in my insurance premium?
If the premiums paid by the drivers insured through the Reinsurance Facility were not sufficient to cover their losses and expenses, the remaining losses and expenses were collected from all the drivers in the State. The additional charge listed on your premium statement is called the recoupment fee. It might be considered similar to paying an IOU. The recoupment fee repays the losses and expenses of the Reinsurance Facility which insurance companies have already paid.
