Senate Bill sb2104

    Florida Senate - 2003                                  SB 2104

    By Senator Diaz de la Portilla





    36-1276A-03                                        See HB 1193

  1                      A bill to be entitled

  2         An act relating to title insurance; amending s.

  3         624.608, F.S.; excluding certain casualty

  4         insurance from the definition of title

  5         insurance; amending s. 627.784, F.S.; deleting

  6         a reference to guarantee of title in a

  7         prohibition against issuing title insurance

  8         under certain circumstances; amending s.

  9         627.786, F.S.; authorizing title insurers to

10         issue certain policies or certificates insuring

11         a lien securing certain loans or mortgages

12         under certain circumstances; providing an

13         effective date.

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15  Be It Enacted by the Legislature of the State of Florida:

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17         Section 1.  Section 624.608, Florida Statutes, is

18  amended to read:

19         624.608  "Title insurance" defined.--

20         (1)  "Title insurance" is insurance of owners of real

21  property or others having an interest in real property or

22  contractual interest derived therefrom, or liens or

23  encumbrances on real property, against loss by encumbrance, or

24  defective titles, or invalidity, or adverse claim to title.

25         (2)  "Title insurance" does not include casualty

26  insurance coverage issued to and paid for by a financial

27  institution to insure any lien interest of the institution in

28  real property that secures a home equity loan or junior

29  mortgage.

30         Section 2.  Section 627.784, Florida Statutes, is

31  amended to read:

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CODING: Words stricken are deletions; words underlined are additions.






    Florida Senate - 2003                                  SB 2104
    36-1276A-03                                        See HB 1193




 1         627.784  Casualty title insurance prohibited.--A title

 2  insurance policy or guarantee of title may not be issued

 3  without regard to the possible existence of adverse matters or

 4  defects of title.

 5         Section 3.  Subsection (4) is added to section 627.786,

 6  Florida Statutes, to read:

 7         627.786  Transaction of title insurance and any other

 8  kind of insurance prohibited.--

 9         (4)  Subsection (1) does not preclude a title insurer

10  from issuing to a financial institution a casualty insurance

11  policy or certificate insuring its lien interest in real

12  property that secures a home equity loan or junior mortgage

13  provided that the financial institution pays for the

14  insurance.

15         Section 4.  This act shall take effect upon becoming a

16  law.

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CODING: Words stricken are deletions; words underlined are additions.