31A-23a-415. Assessment on title insurance agencies or title insurers.
(1) For purposes of this section:
(a) "Premium" is as defined in Subsection 59-9-101(3).
(b) "Title insurer" means a person:
(i) making any contract or policy of title insurance as:
(A) insurer;
(B) guarantor; or
(C) surety;
(ii) proposing to make any contract or policy of title insurance as:
(A) insurer;
(B) guarantor; or
(C) surety; or
(iii) transacting or proposing to transact any phase of title insurance, including:
(A) soliciting;
(B) negotiating preliminary to execution;
(C) executing of a contract of title insurance;
(D) insuring; and
(E) transacting matters subsequent to the execution of the contract and arising out of the
contract.
(c) "Utah risks" means insuring, guaranteeing, or indemnifying with regard to real or
personal property located in Utah, an owner of real or personal property, the holders of liens or
encumbrances on that property, or others interested in the property against loss or damage
suffered by reason of:
(i) liens or encumbrances upon, defects in, or the unmarketability of the title to the
property; or
(ii) invalidity or unenforceability of any liens or encumbrances on the property.
(2) (a) Beginning on July 1, 1998, the commissioner may assess each title insurer and
each title insurance agency an annual assessment:
(i) determined by the Title and Escrow Commission:
(A) after consultation with the commissioner; and
(B) in accordance with this Subsection (2); and
(ii) to be used for the purposes described in Subsection (3).
(b) A title insurance agency shall be assessed up to:
(i) $200 for the first office in each county in which the title insurance agency maintains
an office; and
(ii) $100 for each additional office the title insurance agency maintains in the county
described in Subsection (2)(b)(i).
(c) A title insurer shall be assessed up to:
(i) $200 for the first office in each county in which the title insurer maintains an office;
(ii) $100 for each additional office the title insurer maintains in the county described in
Subsection (2)(c)(i); and
(iii) an amount calculated by:
(A) aggregating the assessments imposed on:
(I) title insurance agencies under Subsection (2)(b); and
(II) title insurers under Subsections (2)(c)(i) and (2)(c)(ii);
(B) subtracting the amount determined under Subsection (2)(c)(iii)(A) from the total
costs and expenses determined under Subsection (2)(d); and
(C) multiplying:
(I) the amount calculated under Subsection (2)(c)(iii)(B); and
(II) the percentage of total premiums for title insurance on Utah risk that are premiums of
the title insurer.
(d) Notwithstanding Section 31A-3-103 and subject to Section 31A-2-404, the Title and
Escrow Commission by rule shall establish the amount of costs and expenses described under
Subsection (3) that will be covered by the assessment, except the costs or expenses to be covered
by the assessment may not exceed $75,000 annually.
(3) All money received by the state under this section:
(a) shall be deposited in the General Fund as a dedicated credit of the department; and
(b) may be expended by the department only to pay for any cost or expense incurred by
the department in the administration, investigation, and enforcement of this part and Part 5,
Compensation of Producers and Consultants, related to:
(i) the marketing of title insurance; and
(ii) audits of agencies.
(4) The assessment imposed by this section shall be in addition to any premium
assessment imposed under Subsection 59-9-101(3).
Amended by Chapter 325, 2007 General Session
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Last revised: Thursday, May 28, 2009