HB 4239 by Rep. Sergio Munoz Jr. & Rep. John Smithee

Texans pay almost $2 billion dollars in title insurance premiums per year, and we have among the highest rates of any state in the country across all income brackets. Worse yet, state law forbids price competition, forbids consumers from participating in the rate-setting process, and makes it nearly impossible for citizens or regulators to determine the true costs associated with rates and settlement charges. Thanks to HB 4239 by Rep. Sergio Munoz, Texans could soon have relief.

HB 4239 brings a measured approach to rate competition, much needed transparency to the title insurance industry, and allows the public to participate in the rate hearing process. This will allow consumers to have more choices and to participate in the rate-setting process, and allow the insurance commissioner to better determine insurance companies’ costs in a way very similar to other lines of insurance.

What Does This Bill Do?

HB 4239 would add competition by directing insurance companies to file rates within a flexible rate band set by the commissioner of insurance. It would also make these filings open to the public, and give the public access and the right to participate in the rate hearing process.  Currently, only title insurance companies, agents, associations, and government regulators have input.

Additionally, HB 4239 requires title insurance companies to accurately itemize in the settlement and closing statements, all payments, and all fees and charges paid to third parties and the settlement agent. It also requires the title industry to file more detailed data relating to

 

Read more about HB4239 HERE

 

SB 2203 by Chairman Kelly Hancock

Texans pay almost $2 billion dollars in title insurance premiums per year, and we have among the highest rates of any state in the country across all income brackets. Worse yet, state law forbids price competition, forbids consumers from participating in the rate-setting process, and makes it nearly impossible for citizens or regulators to determine the true costs associated with rates and settlement charges. Thanks to Chairman Hancock’s SB 2203, Texans could soon have relief.

SB 2203 brings much needed transparency and gives the public more information related to the rates and charges.  This information and data will assist the state’s insurance commissioner in better determining and lowering the appropriate promulgated rate, in a way nearly identical to other lines of insurance.

 

What Does This Bill Do?

Chairman Hancock’s bill requires title insurance companies to more accurately itemize in the settlement and closing statements, all payments, and all fees and charges paid to third parties and the settlement agent. It also requires the title industry to file more detailed data relating to expenses and losses paid in the normal course of their business.

 

Read more about SB2203 HERE