SB 231: "An Act relating to title insurance; and providing for an effective date."
00SENATE BILL NO. 231 01 "An Act relating to title insurance; and providing for an effective date." 02 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF ALASKA: 03 * Section 1. AS 21.66.190 is amended by adding a new subsection to read: 04 (c) Except for an administrative fee not to exceed $75, for a period of 15 years 05 after the date a policy of residential title insurance is issued, a title insurance company 06 may not charge an additional amount to add a person as an insured to that residential 07 title insurance policy. 08 * Sec. 2. AS 21.66.370(f) is amended to read: 09 (f) A title insurance company or title insurance limited producer may not 10 charge an amount [A RATE] for a policy or contract of title insurance that exceeds 11 [EXCEPT IN ACCORDANCE WITH] filings or rates that are in effect for the title 12 insurance company as provided in this chapter. This section may not be construed 13 as prohibiting a title insurance company or title insurance limited producer from 14 charging an amount that is less than the filings or rates that are in effect as
01 provided in this chapter. 02 * Sec. 3. AS 21.66.380(a) is amended to read: 03 (a) A rate filing shall be accompanied by a statement of the title insurance 04 company making the filing, setting out the basis on which the rate was determined, 05 and setting out the actual amounts charged for policies and contracts of title 06 insurance of the same classification during the previous 12 months [WITH THE 07 RATES COMPUTED]. A filing of rates may be justified by 08 (1) the experience or judgment of the title insurance company making 09 the filing; 10 (2) its interpretation of any statistical data relied upon; 11 (3) the experience of other title insurance companies making the filings; 12 or 13 (4) any other factors that the title insurance company considers 14 relevant. 15 * Sec. 4. AS 21.66.410(a) is amended to read: 16 (a) The director may prescribe by regulation 17 (1) guidelines reasonably adaptable to each of the rating systems on file 18 with the director; 19 (2) a uniform classification of accounts to be observed; 20 (3) statistics to be reported; reported statistics must include the 21 actual amounts charged for policies and contracts of title insurance during the 22 reporting period; and 23 (4) uniform forms for reporting this data by all title insurance 24 companies. 25 * Sec. 5. AS 21.66.480(4) is amended to read: 26 (4) "rate" means a maximum charge for title insurance risk, 27 abstracting, searching, examination or determination of insurability, and every other 28 activity, exclusive of escrow, settlement, or closing charges, whether denominated 29 premium or otherwise, made by a title insurance company or an agent of a title 30 insurance company to an insured or to an applicant for insurance, for a policy or 31 contract of title insurance; however, "rate" does not include charges paid to and
01 retained by an attorney at law, abstractor, surveyor, tax service, or any other person 02 acting in a capacity other than as a title insurance limited producer and on behalf of 03 a client other than a title insurance company, or charges made for special services, 04 even though performed in connection with a title insurance policy or contract; 05 * Sec. 6. AS 21.66.360, 21.66.390(a), and 21.66.410(c) are repealed. 06 * Sec. 7. This Act applies to a policy of title insurance issued or renewed on or after the 07 effective date of this Act. 08 * Sec. 8. This Act takes effect July 1, 1996.