Title Insurance Surcharge Fee To be Collected for Title Policies in Florida

The Florida Office of Insurance Regulation has ruled that starting September 2, 2014 all title insurance policies issued in Florida will include a separate surcharge of $3.28. The fee will be aggregated statewide for payment of claims and administration expenses for two failed domestic title underwriters that are currently in receivership:  K.E.L Title Insurance Group, Inc. formerly owned by partners of the KEL law firm in Orlando and National Title Insurance Company.
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The fee will show on the HUD-1 Settlement Statement (commonly known as the Closing Statement) the assessment fee should be charged to the party contractually responsible for paying the premium for the policy. The Assessment should be shown on a blank line in the 1100 block of the Closing Statement.

Every agent or attorney, must add this assessment on every closing beginning September 2, 2014. This is a temporary fee and will apply until the State determines it has recouped related costs and covered all outstanding liabilities for these two companies.

Premier Florida Title is proud to have been audited and approved as issuing title agents for one of the largest and most financially sound title underwriters and the Office of Insurance Regulation.

This informational article is brought to you by Gulati Law and Premier Florida Title, as we wanted to ensure our entire valued REALTOR’s, lenders, and clients are aware of these new surcharge developments and are well informed on the real estate closing and title process.

For more information please contact us for more information- Gulati Law and Premier Florida Title.

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