Florida Senate - 2005 COMMITTEE AMENDMENT
Bill No. SB 638
Barcode 465792
CHAMBER ACTION
Senate House
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11 The Committee on Banking and Insurance (Campbell) recommended
12 the following amendment:
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14 Senate Amendment (with title amendment)
15 Delete everything after the enacting clause
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17 and insert:
18 Section 1. Section 624.608, Florida Statutes, is
19 amended to read:
20 624.608 "Title insurance" defined.--"Title insurance"
21 is:
22 (1) Insurance of owners of real property or others
23 having an interest in real property or contractual interest
24 derived therefrom, or liens or encumbrances on real property,
25 against loss by encumbrance, or defective titles, or
26 invalidity, or adverse claim to title; or
27 (2) Insurance of owners and secured parties of the
28 existence, attachment, perfection and priority of security
29 interests in personal property under Article 9 of the Uniform
30 Commercial Code.
31 Section 2. Paragraphs (a) and (b) of subsection (1) of
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Florida Senate - 2005 COMMITTEE AMENDMENT
Bill No. SB 638
Barcode 465792
1 section 627.7711, Florida Statutes, are amended to read:
2 627.7711 Definitions.--As used in this part, the term:
3 (1)(a) "Related title services" means services
4 performed by a title insurer or title insurance agent or
5 agency, in the agent's or agency's capacity as such,
6 including, but not limited to, preparing or obtaining a title
7 search, examining title, examining searches of the records of
8 a Uniform Commercial Code filing office and such other
9 information as may be necessary, preparing documents necessary
10 to close the transaction, conducting the closing, or handling
11 the disbursing of funds related to the closing in a real
12 estate closing transaction in which a title insurance
13 commitment or policy is to be issued. The premium, together
14 with the charge for related title services, constitutes the
15 regular title insurance premium.
16 (b) "Primary title services" means determining
17 insurability in accordance with sound underwriting practices
18 based upon evaluation of a reasonable search and examination
19 of the title or the records of a Uniform Commercial Code
20 filing office and such other information as may be necessary,
21 determination and clearance of underwriting objections and
22 requirements to eliminate risk, preparation and issuance of a
23 title insurance commitment setting forth the requirements to
24 insure, and preparation and issuance of the policy.
25 Section 3. Subsections (1) and (2) of section
26 627.7845, Florida Statutes, are amended to read:
27 627.7845 Determination of insurability required;
28 preservation of evidence of title search and examination.--
29 (1) A title insurer may not issue a title insurance
30 commitment, endorsement, or title insurance policy until the
31 title insurer has caused to be conducted a reasonable search
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Florida Senate - 2005 COMMITTEE AMENDMENT
Bill No. SB 638
Barcode 465792
1 and examination of the title or the records of a Uniform
2 Commercial Code filing office, as applicable, and has examined
3 of such other information as may be necessary, and has caused
4 to be made a determination of insurability of title or the
5 existence, attachments, perfection, and priority of the
6 Uniform Commercial Code security interest, including
7 endorsement coverages, in accordance with sound underwriting
8 practices.
9 (2) The title insurer shall cause the evidence of the
10 reasonable search and examination of the title or the records
11 of a Uniform Commercial Code filing office to be preserved and
12 retained in its files or in the files of its title insurance
13 agent or agency for a period of not less than 7 years after
14 the title insurance commitment, title insurance policy, or
15 guarantee of title was issued. The title insurer or agent or
16 agency must produce the evidence required to be maintained by
17 this subsection at its offices upon the demand of the office.
18 Instead of retaining the original evidence, the title insurer
19 or the title insurance agent or agency may, in the regular
20 course of business, establish a system under which all or part
21 of the evidence is recorded, copied, or reproduced by any
22 photographic, photostatic, microfilm, microcard, miniature
23 photographic, or other process which accurately reproduces or
24 forms a durable medium for reproducing the original.
25 Section 4. On July 1, 2005, any policy form for
26 insurance that qualifies as title insurance under section
27 624.608(2), Florida Statutes, and for which a substantially
28 similar policy form has been previously approved by the Office
29 of Insurance Regulation as property and casualty insurance,
30 may continue to be sold by that property and casualty insurer
31 until the Office of Insurance Regulation approves the title
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Florida Senate - 2005 COMMITTEE AMENDMENT
Bill No. SB 638
Barcode 465792
1 insurance form provided for in section 624.608(2), Florida
2 Statutes, and the commission approves a corresponding rule for
3 rates for the form, after which point the property and
4 casualty insurance form may no longer be sold.
5 Section 5. This act shall take effect July 1, 2005.
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8 ================ T I T L E A M E N D M E N T ===============
9 And the title is amended as follows:
10 Delete everything before the enacting clause
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12 and insert:
13 A bill to be entitled
14 An act relating to title insurance; amending s.
15 624.608, F.S.; redefining the term "title
16 insurance" to include insurance for security
17 interests in personal property; amending s.
18 627.7711, F.S.; redefining the term "related
19 title services" to include the examination of
20 searches of certain records; redefining the
21 term "primary title services" to include search
22 and examination of certain records; amending s.
23 627.7845, F.S.; prohibiting a title insurer
24 from issuing a title insurance commitment,
25 endorsement, or policy until there has been an
26 examination of certain records; requiring the
27 title insurer to preserve and retain evidence
28 of certain records; providing that certain
29 policy forms may continue to be sold by
30 property and casualty insurers until the Office
31 of Insurance Regulation approves a title
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Florida Senate - 2005 COMMITTEE AMENDMENT
Bill No. SB 638
Barcode 465792
1 insurance form; providing an effective date.
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