Demotech Responds to the Recent Settlement Announcements Related to the Title Insurance Industry Investigations into Affiliated and Captive Relationships
Regulatory Reform Should Include Prior Approval of Title Insurance Rates
By Joseph L. Petrelli
Recently, prominent Title underwriters have settled investigations related to alleged kickbacks through captive reinsurance arrangements. Demotech, Inc., the first company to review and rate the financial stability of Title underwriters, will not revise any Financial Stability Ratings® (FSRs) based upon affiliated business arrangements or captive reinsurance arrangements from this investigation.