[Crazy Dazz]

Not commenting specifically on this business or issue, but I've come across some dodgy insurance problems.
There's a lot of insurance companies and brokers that are happy to take fees on such transactions. Either a flat fee, or percentage of value, or a combo thereof. For the insurer its money for old jam. Till somebody actually makes a claim.

You can also find that often when a service provider is charging you for transaction based insurance, there may in fact be no separate insurance transaction. Rather the provider has a blanket policy in place and is simply trying to recoup costs. And again, the policy may be worthless.