Bill > H1099

This bill reforms title insurance in Massachusetts by establishing comprehensive regulations aimed at protecting homebuyers and promoting transparency in the title insurance market. The legislation creates a new chapter in state law that prohibits assessing lender's title insurance to buyers who refinance their mortgages and introduces several key provisions. These include requiring title insurance companies to file quarterly statements with the commissioner and attorney general detailing their rates, mandating public disclosure of these rates on the division of insurance's website, and ensuring that buyers receive detailed written disclosures about title insurance costs at closing. The bill also establishes important consumer protections, such as entitling homeowners to a reissue rate (50% of the basic rate) when refinancing if they can provide evidence of previous title insurance, and mandating that homeowners receive a free continuation of their title insurance when refinancing with the same or a successor lender. Additionally, the legislation requires agents, brokers, and attorneys to disclose their relationship with title insurance companies and provide a comprehensive breakdown of insurance costs, including premiums, commissions, and other transaction components. Violations of the bill's provisions can result in fines up to $500 per occurrence, with the aim of promoting fair practices and transparency in the title insurance industry.

Business and Industry

https://malegislature.gov/Bills/194/H1099