Earlier this year, the Division imposed fines on and ordered corrective actions by title insurance agencies. Title insurance agencies sell title insurance that is underwritten by title insurers.
Title insurance is an integral component of real estate transactions.
Title insurance was developed to guarantee the current status of title to real property by search and examination of public filings prior to closing. Unlike other property and casualty insurance, title insurance involves the acceptance of risk associated with past transactional events rather than future risk. Since title insurance affects all homeowners, effective regulation of title insurance entities by the Division of Insurance is critical. The Division's market conduct examination program highlights areas of concern about the company to the Division of Insurance. Exams are written by exception, only identifying actions in violation of state law, and not listing areas of compliance.