Effective November 1, 2024 (Order 2024-8851)

R-6. Subsequent Issuance of Mortgagee Policy

1. Subsequent to Owner Policy - When a Mortgagee Policy( ies) is requested, subsequent to the issuance of an Owner Policy which excepted to the Vendor's Lien, the premium will be one-half the Basic Rate. The lien to be insured should be as initially created, and excepted to in the Owner Policy, and not an extension or rearrangement thereof. Such Mortgagee Policy( ies) shall be provided in the quantity of the current overdue balance of stated indebtedness. The Company shall be provided such evidence as it might need verifying such unpaid balance, that the insolvency is not in default and that there has been no velocity of maturity. THIS RULE MAY NOT BE APPLIED in connection with the issuance of a series of Mortgagee Policies released by factor of notes being allocated to specific systems in connection with a master policy covering the aggregate insolvency, consisting of enhancements. Individual Mortgagee Policies should be provided at the Basic Rates.

2. Subsequent to Mortgagee Policy - When a Mortgagee Policy( ies) is asked for, for any reason whatsoever, on a lien currently covered by an existing Mortgagee Policy( ies), however not on a renewal or extension thereof, the brand-new policy remaining in the amount of the existing unsettled balance of the insolvency, the premium for the new policy shall be at the Basic Rate, but a credit for three-tenths (3/10) of stated premium may be permitted.
3. Subsequent to Mortgagee Policy - When an insolvent insurer is placed in permanent receivership by a court of proficient jurisdiction and a Mortgagee Policy( ies) is requested on a lien currently covered by an existing Mortgagee Policy( ies) of said insolvent insurance company, but not on a loan to take up, restore, extend or satisfy an existing lien, the brand-new policy being in the quantity of the current unsettled balance of the indebtedness, the premium for the new policy shall be at the basic rate, however a credit for half of stated premium will be enabled, unless such credit would reduce the premium to less than the minimum Basic Rate, in which case the rate shall be the minimum Basic Rate. The insured will give up the existing Mortgagee Policy( ies) to the Company when positioning the order for a new Mortgagee Policy( ies). The date of Policy for the brand-new policy( ies) will be the exact same Date of Policy as the existing Mortgagee Policy( ies).

R-7. Mortgagee Policies Covering First and Subordinate Liens Issued Simultaneously

When a Mortgagee Policy is provided on a Very first Lien, and other policy( ies) is issued on Subordinate Lien( s), developed in the exact same deal, covering the same land or a portion thereof, the premium for the First Lien policy will be calculated on the total of the combined liens; the premium for each Subordinate Lien policy will be $5.00.

R-8. Loan Policy on a Loan to Take Up, Renew, Extend or Satisfy an Existing Lien( s)

When a Loan Policy is issued on a loan that fully takes up, restores, extends, or satisfies one or more existing liens that are already guaranteed by several existing Loan Policies, the new Loan Policy need to remain in the quantity of the note of the new loan. The premium for the brand-new Loan Policy is minimized by a credit. The credit is computed as follows:

1. Calculate the Basic Premium on the composed reward balance of the existing loan or the initial quantity of that loan, whichever is less; and
2. Multiply by the percentage listed below for the time from the existing Loan Policy date to the brand-new Loan Policy date: 1. 50% when 4 years or less;
2. 25% when more than four years but less than eight years; or

The premium for the new Loan Policy is the Basic Premium less the credit; however not less than the minimum Basic Premium.

The credit does not apply if any residential or commercial property not covered in the existing Loan Policy( ies) is included in the new Loan Policy.

When the existing Loan Policy( ies) consisted of more than one chain of title, and the new Loan Policy also consists of one or more of the initial chains of title, the minimum Basic Premium must be charged for each additional chain of title. (See Rate Rule R-9 for the definition of "extra chain.")

When two or more brand-new Loan Policies are released on multiple loans to fully use up, restore, extend, or satisfy an existing lien guaranteed by a single Loan Policy, the premium for each new Loan Policy, is the Basic Premium. The credit determined above should be used to the premium for the largest Loan Policy. A credit should be provided even if not all of the new loans are guaranteed or if only among the new loans is insured.

THIS RULE MAY NOT BE APPLIED in connection with the issuance of a series of Loan Policies provided by factor of notes being allocated to specific units in connection with a master policy covering the aggregate insolvency, consisting of enhancements. Except as otherwise supplied in this guideline, specific Loan Policies should be released at the Basic Rate.

R-9. Additional Chains of Title

In the event more than one chain of title is involved in the issuance (including determination of insurability of access) of any policy, the Company will charge the minimum policy Basic Premium Rate for each extra chain. For function of applying this rule, contiguous parcels of land in one county will be treated as one chain, provided record title to the land and record title to the gain access to is vested in one owner at the time application is made. Each noncontiguous parcel having a different chain will be treated as a separate chain, other than where two or more lots in the same platted subdivision, and having the same plat recording date, come from the same owner, then such shall be treated as one chain. If the parcels of land depend on more than one county, there are separate chains of title in each county. No extra chain charge might be produced determination of insurability of access to land located within a neighborhood, offered: (i) the neighborhood lies in only one county, and (ii) the plat of the neighborhood has been legally approved by an authorized governmental entity, is duly recorded, and the roads revealed thereon have actually been committed for public use or for making use of the owners of lots found in the neighborhood.

R-10. Owner's Policies - City Subdivision, Acreage Subdivisions, Industrial Tracts

Rate Rule R-10 is rescinded, reliable September 1, 2013, due to obsolescence.

Effective January 3, 2014 (Order 2806)

R-11. Loan Policy Endorsements

Applicable only as supplied in Procedural Rule P-9.

Assignment of Mortgage Endorsement (Form T-3, Endorsement Instruction III): If released within twelve months after the date of the policy, the premium is the minimum Basic Premium Rate.
If provided more than twelve months after the date of the policy, the premium is the minimum Basic Premium Rate plus $100.00 for each additional full or partial twelve-month duration.
However, the maximum premium gathered should not be more than 50% of the premium for the loan policy amount based on the present Schedule of Basic Premium Rates
If issued within twelve months after the date of the policy, the premium is the minimum Basic Premium Rate.
If issued more than twelve months after the date of the policy, the premium is the minimum Basic Premium Rate plus $25.00 for each additional full or partial twelve-month duration.
However, the optimal premium gathered should not be more than 50% of the premium for the loan policy amount based on the present Schedule of Basic Premium Rates.
If the land in the policy is Residential Real Residential or commercial property, the premium is $50.00.
If the land in the policy is not Residential Real Residential or commercial property, the premium is $100.00.
The premium for the Variable Rate Mortgage Endorsement (Form T-33) is $20.00.
The premium for the Variable Rate Mortgage-Negative Amortization Endorsement (Form T-33.1) is: $20.00; or
$ 0.00 if an extra premium is charged for the Loan Policy because of an increased policy quantity.
The premium for the Manufactured Housing Endorsement (Form T-31) is $20.00.
The premium for the Supplemental Coverage Manufactured Housing Unit Endorsement (Form T-31.1) is $50.00.
When issued at the time the policy is released, the premium is 25.00.
When issued after the date of the policy, the premium is $50.00.
The premium is $25.00.
However, when numerous Planned Unit Development Endorsements (Form T-17) are issued simultaneously on several Loan Policies covering the exact same land, the premium for the very first endorsement is $25.00 and the premium for additional endorsements is $0.00.
Title Manual Main Index|Section III Index

R-12. Commitment for Title Insurance

Applicable just as provided in Rule P-18 - The Commitment for Title Insurance shall bear no premium in addition to the premium chargeable for the policy or policies provided pursuant thereto, other than that this Rule R-12 will not apply to any dedication for title insurance released pursuant to Rate Rule R-23, or Rate Rule R-25.

R-13. Mortgagee Title Policy Binder on Interim Construction Loan

1. Applicable just as supplied in Rule P-16 - A premium charge of a quantity equal to the minimum policy Basic Premium Rate shall be made for issuance of each Mortgagee Title Policy Binder on Interim Construction Loan. Such Binder will be issued for a regard to one year. The initial Binder may be extended for 6 (6) additional consecutive periods of six (6) months each, not to surpass thirty-six (36) months. A premium of $25.00 shall be charged for each successive six (6) month extension.
2. Upon subsequent issuance of: 1. a Mortgagee Policy on a loan to fully take up, restore, extend or satisfy a lien currently covered by a Mortgagee Title Policy on Interim Construction Loan, or.
2. an Owner's Policy on the sale of a residential or commercial property which is overloaded by a lien covered by a Mortgagee Title Policy Binder on Interim Construction Loan and which lien against the communicated residential or commercial property is released prior to or simultaneous with the sale, the premium for the brand-new policy will be at the basic rate, however a credit for the premium spent for the Binder shall be allowed to the buyer of the Owner's Policy as follows: Fifty percent (50%) of the premium spent for the Binder (exclusive of extensions), if the subsequent policy is released within one (1) year from the date of the original Binder.

Where more than one Policy might be issued on a part of the residential or commercial property covered by the Binder, only one credit shall be allowed, being on the first Policy issued.

This Rule shall not use to any Binder issued prior to March 1, 1989, in which case no credit is enabled.

Notwithstanding the provision in Rate Rule R-1, it shall be acceptable to combine this guideline with Rate Rule R-5 in the computation of the premium for a Policy. In no event shall the premium collected be less than the routine minimum promulgated rate for a Mortgagee Policy.

The half (50%) credit will not use if the Binder covers real residential or commercial property which is being enhanced for improvements aside from one to four domestic units.

Title Manual Main Index|Section III Index

R-14. Foreclosed Properties

When the owner of the residential or commercial property has acquired exact same directly through foreclosure under a mortgage insured by a Mortgagee Policy, or the Secretary of Housing and Urban Development or the Administrator of Veteran's Affairs, or as their names may be changed from time to time, has actually obtained said residential or commercial property be factor of its warranty or recommendation of a mortgage insured by a Mortgagee Policy, and is selling very same, an Owner Policy may be issued on stated sale, or a Mortgagee Policy may be provided on a lien being kept in the deed conveying stated residential or commercial property. If only an Owner Policy is released, the charge for that reason will be at the Basic Rate on the full quantity of the factor to consider of stated sale. If only a Mortgagee policy is released, the Basic Rate on the complete amount of the lien will be charged. In either case, the credit of $15.00 on the entire transaction shall be permitted. In case an Owner Policy and a Mortgagee Policy are provided at the same time on a deal as offered in Rule R-5, the synchronised problem rate, in addition to the credit permitted by this guideline, will apply. The $15.00 credit permitted by this rule will not use until the releasing Company is provided the following:

1. At the time the policy or policies are purchased, the seller will transfer to the Company, for its evaluation and usage, such proof as is readily available in the seller's files, including the Mortgagee Policy covering the lien foreclosed, revealing title vested in such seller. This title proof need to be kept in the files of the Company for future reference in the occasion a claim emerges under the indemnity agreement set forth in paragraph "b" hereof.