Yes, well, this would be the cost of having a regulatory oversight agency to ensure the content and quality of the product. If you want to make sure the product you buy is manufactured and distributed according to rigorous standards this is the price you must pay.
Then if you want to use insurance to support the cost rather than paying out of pocket you must understand that when you present a large pool of money into any marketplace prices will rise as suppliers attempt to gain the monetary advantage over their competitors. If they were to cede the higher profits the competitior would obviously gain more money and be able to drive them from the market.
This might come as a shock to you but: the company has no motive in trying squeeze you for more than you can pay. They want as broad a customer base as their costs and market conditions will permit. It is in their interest to have you as a customer rather than turn you away.
BTW -- concerning the phrase, "cheap Chinese junk"...
