NU Online News Service, Feb. 16, 2005, 7:11 p.m. EST
A major securities clearing company is raising processing prices for some insurers and cutting prices for others.[@@]
The company, the National Securities Clearing Corp., New York, has filed a notice announcing a new Insurance Processing Service fee schedule with the U.S. Securities and Exchange Commission. The SEC has published a copy of the notice today in the Federal Register.
The changes affected the IPS Positions and Valuations product, which helps carriers send annuity and life insurance contract details to distributors, according to the notice.
Here is a description of the changes for insurers at various processing volume levels:
- 0 to 500,000 items per month: To $8 per 1,000 items, from $6.
- 500,001 to 2 million items per month: To $4.50 per 1,000 items, from $5.
- 2,000,001 to 4 million items per month: To $3.75 per 1,000 items, from $4.
- 4,000,001 or more items per month: To $3.50 per 1,000 items, from $2.
The changes took effect Jan. 1, according to the NSCC.
The NSCC has not asked for public comments, but it will tell the SEC about any written comments that it receives, the NSCC says.
The NSCC is a subsidiary of the Depository Trust & Clearing Corp., New York.
The notice about the new fee schedule is on the Web at http://a257.g.akamaitech.net/7/257/2422/01jan20051800/edocket.access.gpo.gov/2005/E5-640.htm