Bulletin: NY000287

Date:
June 15, 2006
To:
All New York State Office Counsel, Managers and Agents
RE:
Rate Deviation

As you may be aware, the New York State Insurance Department and the New York State Attorney General have been conducting investigations of certain Title Underwriters licensed to do business inNew York, including Stewart, as well as certain policy issuing offices.  Fidelity National Title Group's title insurance underwriters doing business in New York (“Fidelity”) and First American Title Insurance Company of New York (“First American”) entered into separate Assurances of Discontinuance with the Office of New York State Attorney General Eliot Spitzer.  As part of their respective settlements Fidelity and First American agreed to file rate deviations reducing by 15% the premium on all purchase transactions involving liability levels up to 1 million dollars.  The New York State Insurance Department (“NYSID”) has recently approved both deviation filings that are effective for closings on or after June 16, 2006.

As a consequence and in order to insure Stewart remains a competitive market for our loyal customers and policy issuing offices, Stewart has independently filed for a similar rate deviation with the New York State Insurance Department.  NYSID has today approved our deviation effective for closings on or after June 16, 2006.

Accordingly, for all owner's policies in which the liability is less than one million dollars, the premium MUST be calculated in accordance with the attached rate schedule.  Stewart's Rate Calculator has been updated to reflect the approved deviation. The rate calculator can be found on the following website: www.stewartnewyork.com.  We strongly urge you to use the Stewart Rate Calculator and print a copy of its calculation for each file.

Keep in mind that for all other policies not covered by the approved deviation, the premiums will remain the same as set forth in the TIRSA Manual.

We thank you for your continued support and look forward to providing you with the service you have come to expect from Stewart.  

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.

SECTION 1 – OWNER'S AND MORTGAGE POLICY RATES

Zone 1

Amount of Insurance                                                                    Owners Policy

First $35,000 or less                                                                              $303

MINIMUM Premium

Each additional $1,000

(or fraction thereof)

From                                     To                          Amount per thousand

35,001                                  50,000                                    6.73

50,001                                  100,000                                   4.20

100,001                                 500,000                                  3.39

500,001                                  999,999                                  3.03

Zone 2

Amount of Insurance                                                          Owners Policy

First $35,000                                                                            $342

MINIMUM Premium

Each additional $1,000

(or fraction thereof)

 

From                                         To                      Amount per thousand

35,001                                      50,000                                5.67

50,001                                    100,000                                4.62

100,001                                   500,000                               3.71

500,001                                   999,999                               3.39

References

Bulletins Replaced:
None
Related Bulletins:
None
Underwriting Manual:
None
Exceptions Manual:
None
Forms:
None