Bulletin: CO2018001

Dear Associates:

The Colorado Division of Insurance has approved Stewart’s latest Rate Submission and the new rates are effective as of January 5, 2018. 

A copy of the Revised Colorado Manual of Charges and Forms for Title Insurance is available here.

Please contact PropertyInfo Customer Care or your title production software vendor as soon as possible to have the new rate and form changes implemented in your systems.

A summary of the changes to the Rate Manual is outlined below. If you have questions about this bulletin or the new rates, please contact a Stewart Title Guaranty Company Underwriter.

Summary of Changes to Stewart Title Guaranty Company Colorado Rate Manual

Section A:  Area A Schedule of Basic Charges Metro Denver Counties

(a)  Increase Minimum from $725.00 to $765.00.

(b)  Amend liability amounts from $0-$100,000 as set forth below while increasing liability/rates thereafter based on $40.00 base increase up to and including $1,000,000.00.

Section A: Area C Boulder, Jackson, Larimer and Weld

(a)  Remove Boulder County from Area C and create Area U for Boulder County only, current rates for Area C will apply to Area U.

Section A: Area D Huerfano and Pueblo

(a) Increase Basic Rate Minimum Charge from $528.00 to $548.00 liability/rates thereafter based on $20.00 base increase for liability amounts up to and including $1,000,000.00.

Section A: Area E Eagle, Lake, and San Miguel

(a)  Remove Lake County from Area E and add to existing Area O to position company in alignment with other competing underwriters resulting in a decrease in Basic Rates while being able to capture greater market share.

Section A: Area G Park and Summit

(a)  Increase Basic Rate Minimum Charge from $503.00 to $575.00 and liability/rates thereafter based on $75.00 base increase for liability amounts up to and including $1,000,000.00.

Section A: Area J Gunnison

(a)  Increase Basic Rate Minimum Charge from $330.00 to $430.00 and liability/rates thereafter based on $100.00 base increase for liability amounts up to and including $1,000,000.00.

Section A: Area K Pitkin

(a) Increase Basic Rate Minimum Charge from $387.00 to $410.00 and all liability/rates thereafter based on $23.00 increase up to and including $1,000,000.00.

(b) Amend per thousand rates for liabilities in excess of $10,000,000.00.

Section A: Area L Routt

(a)  Increase Basic Rates starting at $200,001 by $25.00 increment up to $300,000, Increase rates from $300,001 to $900,000 by $35.00 increment, increase rates $900,001 to $1,000,000 by $45.00 increments.

Section A: Area O Delta, Mesa, Montrose, Ouray and Lake

(a)  Increase minimum to $430.00 while increasing rates thereafter on $55.00 per increment up to $100,000.00. Increase rates for $100,001 up to $800,000 by $70.00. Increase rates for $800,001 to $1,000,000 by $55.00 per increment.

Section A: Area Q Grand

(a)  Increase Basic Rate starting at $100,001 up to $500,000. $20.00 increase from 100,001 to 240,000 with varying incremental increases of $5.00 to $20.00 from $240,001 to $500,000.00 in liability.

Section A: Area R La Plata

(a)  Remove La Plata County from Area R and add to existing Area E. 

Section A: Schedule of Residential Resale Concurrent Bundled Loan Charges For Title Insurance (1-4 Platted and Improved Properties), Page 61

(a)  Delete all references as to “Concurrent”. 

(b)  Delete all references as to “Platted” properties, will simplify rate application both in the field and for the consumer while being competitive in the marketplace.

(c)  Amend Liability Amounts and Schedule of Charges.

(d)  Amend Note 1: Add language to statement, if issued.

(e)  Amend Note 3: The Residential Resale Bundled Loan Charge is for lender’s that desire the efficiencies of a bundled product which includes endorsements and coverages as shown below. The Simultaneous Issue Charge instead of the bundled product is available upon customer’s request.

Section A: Schedule of Bundled Loan Charges for Title Insurance for Residential (1-4 Platted and Improved) Properties, Page 62

(a)  Delete all references as to “Platted” properties, will simplify rate calculation and application for both consumer and in the field while being competitive in the marketplace.

(b)  Amend Schedule of Charges.

Section A: Schedule of Junior Loan Charges for Title Insurance for Residential (1-4 Platted and Improved) Properties (Second Mortgages) Page 63

(a)  Deleted references to “Platted” in Rate Rule Title and make reference to “Subordinate” Mortgages versus “Second” Mortgages, will simplify rate calculation and application both in the field and for the consumer and not limit the application of the said rate to Second Mortgages.

Section A: Schedule of Limited Liability Policy (AKA Home Equity Limited Liability Policy or Fast Policy) For Title Insurance, Page 64

(a)  Increase maximum Liability amount to $500,000.

(b)  Amend charge per $1,000 over $50,000 and add clarity to rate as to additional liability.

(c)  Amend Note 1 to delete the reference to “Second” Mortgages as current language restricts/limits the use of the product and is not competitive in Market Place under the current rule.

Section B: B-2 Include Additional Work Charge hourly Rate of $100.00 per hour

Section B: B-2.1 Additional Chains of Title

(a)  Increase additional parcel charge from $100.00 to $150.00.

(b)  Delete wording “not less than”.

Section B: B-6.11 Minimum Charge

(a)  Removed “Concurrent” reference under Residential Resale Concurrent Bundled Loan Charges.

(b)  Add Residential Builder Bundled Loan Charges.

Section B: Add Closing Protection Rule, description and charge

B-14   Closing Protection Letters:

(a)  The fee for a Closing Protection Letter issued to a seller, buyer, borrower and/or lender shall be $25.00 for each party issued a closing protection letter for transactions involving real property in which the company will be issuing a title insurance policy. No fee will be charged in the event the transaction cancels subsequent to the issuance of the closing protection letter. 

(b)  The fee(s) will be paid to the company pursuant to Regulation 8-1-3.

Section C:  C-4 Double Sale:

(a)  Amend rate language to provide the Short Term Rate as defined under Section B-10 and provide a competitive rate in the market place while providing the consumer the availability of a Short Term Rate if applicable. 

(b)  Add Note 3 for application of extended coverages.

Section D: D-1(b)

Amend Simultaneous Issuance Charge:

(a)  Increase charge from $150.00 to $175.00, all areas.
 

Section D: D-1 add Rule D-1 (c) Simultaneous Issue with two or more loan policies and no concurrent owner’s policy:

When two or more loan policies covering identical land are to be issued simultaneously and a concurrent owner’s policy will not be issued and does not involve a transfer of the land or interest to a bona fide purchaser for value, the rate for the loan policy with the greatest amount of insurance will be the applicable Schedule of Rates, the charge for any additional loan policies issued simultaneously will be $175.00.

Section D: D-1 (c) Current Residential Resale Concurrent Bundled Loan Charges

(a)  Rename D-1(d).

(b)  Deleted all references as to “Concurrent”. 

(c)  Deleted all references as to “Platted” properties and added Family, will simplify rate calculation and application both in the field and for the consumer while being competitive in the market place.

Section D: D-1 (d)

(a)  Rename D-1(e).

(b)  Deleted all references as to "Platted" and added Family, will simplify rate calculation and application both in the field and for the consumer while being competitive in market place.

(c)  Deleted language from rule that the application of the rate is only for purposes of refinancing an existing deed of trust/mortgage.

Section F: General Rules-Subdivider/Builder Charges

(a)  Amend General Rule to add the following language for rate clarification.

NOTE: The minimum filed rate for the applicable county in which the land is located shall apply herein as to Sections F-1, F-2 and F-3.

Section F: F-5 Residential Builder Bundled Concurrent Loan Charges.

(a)  Deleted all reference as to "Concurrent".

(b)  Amend language as to application of rate under Section F.

Section G: G-7 Guarantee Date Down:

(a)  Add note as to charge per issuance.  

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.

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