Understanding Florida Title Insurance Rates and Discounts

Understanding Florida Title Insurance Rates and Discounts

Title insurance protects a property buyer or lender from any prior claims against the property as well as any outstanding debts from the previous owner.   Unlike other types of insurance, a one-time premium is paid for title insurance and the policy is in effect until the property is sold by the owner or the owner’s heirs.

The premium rates for Florida title insurance — known as the promulgated rate — are set by the Office of Insurance Regulation (OIR). In setting title insurance rates, the OIR considers any underlying risks as well as the administration costs for underwriters to issue a policy.

The premium property owners pay for title insurance typically includes the OIR’s promulgated rate as well as related title service charges, including title search fees and closing costs. Buyers are provided with an accounting of these fees in a preliminary closing statement.

A buyer may qualify for a reissue credit, which lowers the cost of the title insurance premium, if there is a recently issued title insurance policy in already in place and one of the following qualifications is met:

• The property must not have been improved since the original policy was issued; or
• The issuing date on the policy must be less than three years prior to the reissue date; or
• The policy must have been issued to the current owner and a new policy is needed because of refinancing.

Title insurance rates are based on the purchase price of the property. Currently, the minimum rates allowed to be charged by Florida title insurance underwriters are as follows:

Purchase Price	Basic	Reissue
$0 – $100,000	$5.75 per $1,000	$3.30 per $1,000
$100,000 – $1 million	$5.00 per $1,000 + $575	$3.00 per $1,000 + $330
$1 million – $5 million	$2.50 per $1,000 + $5,075	$2.00 per $1,000 + $3,030
$5 million – $10 million,	$2.25 per $1,000 + $15,075	$2.00 per $1,000 + $11,030
Over $10 million	$2.00 per $1,000 + $26,325	$1.50 per $1,000 + $21,030

You may also qualify for other types of discounts, including a discount that is provided if the purchase is for a new construction property.

Jurado & Farshchian is an approved agent of Old Republic National Title Insurance Company, the highest rated of all the national title insurance underwriters.. Contact us at (305) 921-0440, or email us at info@jflawfirm.com to discuss your title insurance needs.

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