Pennsylvania Title Insurance Endorsement Prices Going Up
The major title insurance underwriters in the United States, the PLTA and the Title Insurance Rating Bureau of Pennsylvania have been busy putting together plans to effectuate a rate increase in certain title insurance endorsements which will affect PA Title Companies and their consumers.
Resulting from this collaboration, the Pennsylvania Department of Insurance has granted a title insurance rate increase effective May 01, 2020. The change consists mainly of the following:
- The charge for all flat-rate endorsements (under $250.00) will increase by 100%; therefore, Endorsements 100, 300, and 900, for example, will double from $50.00 to $100.00.
- The charge for endorsements over $250.00 will increase by $200.00; therefore, Endorsement 17.1-06 (Indirect Access & Entry-Loan only/Commercial only) will cost $450.00. The charge for Endorsement 17.2-06 (Utility Access-Loan only/Commercial only) will be $700.00 rather than $500.00.
We look to have new rate manuals in the near term with the rate increases reflected as stated above.
Be sure to factor in the increase in endorsements effective May 1, 2020, when pricing out title insurance premiums for transactions closing on or after May 1.
All PA Title companies and real estate attorneys need to be aware of this rate increase.
If you have any questions be sure to give us a call and ask your professionals at our PA Title company!
*Reminders PA Title Insurance endorsements 100, 300 and 900 are typically required when there is financing taking place on an acquisition or during a refinance transaction.