Edwards Abstract and Title Co. Informs Clients Regarding
3.8% Title Insurance Rate Increase Effective May 1, 2013
The Texas Department of Insurance (TDI) Commissioner Eleanor Kitzman adopted a rate increase of 3.8% to the Basic Premium Rate for Title Insurance that will go into effect May 1, 2013.
This is the first time title insurance rates in Texas have been raised in over 20 years, the last increase being in 1991. During those intervening years, title insurance rates have actually decreased by almost 20%.
Title insurance rates in Texas are set by the Commissioner of Insurance as part of a thorough evidentiary based public meeting and hearing process. Extensive statistical data is gathered from title insurance underwriters and agents on an annual basis, including expense and income figures as well as data on claims losses. This data is used to establish a rate that allows for a reasonable rate of return and is fair to the consumer.
Both the Office of Public Insurance Counsel and the Texas Department of Insurance staff testified at the hearing that this adjustment was reasonable and was supported by the evidence.
All policies and affected endorsements dated on or after May 1, 2013 should be at the new rates.
Edwards Abstract and Title Co. will provide the new premium rate schedule for your review. The Edwards Management Group and Escrow Division are available to answer any questions that you have regarding the rate increase.
Serving Cameron and Hidalgo Counties
UNDERSTANDING TITLE INSURANCE BENEFITS AND COVERAGE – CLICK ON THE VIDEO TO LEARN THE STEP BY STEP CLOSING PROCESS AND THE BENEFITS OF A TITLE INSURANCE POLICY FOR YOUR HOME.