August 23, 2002
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Public Insurance Counsel Applauds Title Rate Decrease
AUSTIN—Public Insurance Counsel, Rod Bordelon today applauded Insurance Commissioner Montemayor for decreasing title insurance rates by 6 percent. Bordelon, who as director of the state’s Office of Public Insurance Counsel, represents policyholders, had recommended a decrease of 10.1 percent.
"Based on our analysis, title rates are clearly excessive and should have been reduced by 10 percent" said Bordelon, "but this is a significant reduction which should help make buying or refinancing a home more affordable." The evidence included reducing expense factors to account for lower cost and lowering loss projections traditionally urged by the industry. "Technological advances have streamlined title searches and closing transactions, leading to cost savings which should be passed on to the public", said Bordelon. "The Commissioners Order certainly helps to ensure that happens."