ALTA does not track marketing costs so it's difficult to determine if consumers are paying for waste or for quality of work the title insurance business. The title industry's revenue is more volatile than that of the property/casualty industry. Cyclicality in a line of insurance creates challenges but isn't always a negative quality, since it creates opportunities for well-managed companies. In such businesses, management must make sure the company's operating structure is flexible and responsive to both increases and decreases in revenue over a relatively short period. A well-managed company must be able to access trained staff to service business adequately when demand for title insurance is rising.
This differs significantly from the experience of property/casualty companies, which require a relatively larger surplus cushion to protect property underwriters from catastrophes or casualty underwriters from adverse loss-reserve development. Both property/casualty insurers and title insurers must physically produce policies, but the processes and requirements differ significantly. A typical property/casualty policy might involve filling out a few blanks on a form, while the title policy might require the transcription of a complex legal description unique to the insured property, along with enumeration of often equally complex and unique terms of easements or other special property rights. In property and liability lines, agents' commissions generally are in the range of 10% to 25% of the premium on the policies that agents write.
This tactic can be particularly effective in those regions where a small number of law firms specialize in representing title claimants the title insurance business. Whether a company's approach is successful or not can be determined only when the results of that approach are compared with industry averages.
Be sure to inquire about the services and fees included in the title insurance premium and any fees (e the title insurance business.g., cost of search and examination, closing services, etc.) that may be charged to you separately.
But what if the title search misses something and it comes back to bite after you've moved in? This could happen pa state workers insurance fund. Buyers have even been known to lose their houses because of clouded ownership — some past problem that wasn't discovered. The Keys, Please the title insurance business.