Section 27-25-4 Issuance of policy; certificate of authority.
Section 27-25-4
Issuance of policy; certificate of authority.
(a) A title insurance policy insuring the interest of an insured in real property in this state shall not be issued by any person or agent unless the person or agent issuing a title insurance policy is domiciled in or is otherwise a bona fide resident of and resides within this state or is a partnership, association, corporation, or other legal entity properly organized or existing under the laws of this state. Nothing herein contained shall be construed to prevent a title insurer licensed to do business in this state, nor an employee thereof, from issuing a policy of title insurance in this state.
(b) A title insurance policy insuring the interest of an insured in real property in this state shall not be issued by an agent of a title insurer unless the title insurer first obtains a certificate of authority from the commissioner for such an agent. The commissioner shall collect from the title insurer the sum of fifty dollars ($50) annually for each certificate of authority for which application is made. For the purposes of this subsection, a certificate of authority need only be obtained for each agency of the title insurer and not for each person within an agency who is authorized to execute on behalf of the agency title insurance commitments, policies, or endorsements of the title insurer. Nothing herein contained shall be construed to require the issuance of a certificate of authority as described in this subsection to a title insurer licensed to do business in this state, nor an employee thereof, for the purpose of issuing a policy of title insurance in this state.
(c) Unless a later date is specifically authorized by the title insurer for a particular transaction or unless the title insurance commitment specifies a time for which it is effective or such commitment is renewed or extended by the title insurer, the title agent shall issue to the insured the policy or policies of title insurance for which a premium has been collected within 60 days from the effective date of the policy or in the case of a title insurance commitment having been issued, within 60 days after the satisfaction of all requirements and conditions set out in the commitment in accordance with the title insurer's underwriting guidelines. For the purpose of this subsection, the effective date of the policy is defined as the date and time the instrument conveying the interest to be insured is recorded unless the policy to be issued is insuring the interest of the proposed insured by virtue of an instrument recorded in the real property records prior to the time the request or order for title insurance is placed.
(d) The fifty dollar ($50) fee collected by the commissioner for the issuance of certificates of authority to agents of title insurers shall be deposited into the Insurance Department Fund.
(Act 2001-496, p. 866, §4.)