- May 17, 2012
- All Pennsylvania Issuing Offices
- Rate Simplification, Rate Increase and Manual Revisions
The Pennsylvania Insurance Department has approved a Rate Simplification, Rate Increase and Manual Revisions submitted by the Title Insurance Rating Bureau of Pennsylvania (TIRBOP) to become effective July 1, 2012.
The Rate Simplification collapses the current rating structures into a single Sale Rate and a single Non-Sale Rate. There are no longer any rules regarding the length of time since the last insured transaction. The new rates should enable you, consumers and lenders to readily ascertain the rate applicable to the transaction. You will no longer be required to determine when the title was last insured. The Sale Rate is for all sales. The Non-Sale Rate applies to refinances, although discounts for loan modifications and assignments of mortgages are still applicable now based upon the Non-Sale rate. The simplified rate tables included in this filing reflect a rate increase of 7%.
In addition to the rate simplification, the new rates apply to all policies. There is no limit on the premium rates previously set at $30 million. The rates are still an all-inclusive rate (i.e., the rate covers your search and exam work and closings held in the office during normal business hours). All the rules regarding ancillary fees remain the same-pass through charges only (i.e., tax certs, wire, overnight mailings, etc.).
The Approved Attorney rate is unchanged. However, the following rates have been withdrawn: The Basic and Reissue; Mortgage Loans 2-4 year and 0-2 year; Operative Builder, Community Reinvestment Act/PHFA; and Permanent Loan following a Construction Loan Rates.
Please remember when quoting a premium, the rate applies to all transactions on and after July 1, 2012. Attached is a copy of the New Approved Rate Manual.
Please feel free to contact the Wayne Office at (610) 687-0400 with any questions or concerns.
As a reminder, agents using AFW should contact PropertyInfo Customer Care to get the new rate changes implemented in their AFW system.
If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.
For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.
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.