March, 2020

New Stat Codes in Effect April 1, 2020

 
The Texas Department of Insurance has adopted amendments to the Texas Title Insurance Statistical Plan. These amendments create new stat codes for changes made to rules R-5 and R-8 when the new rate rule changes were adopted in 2019. 
 
The change to Rate Rule R-5 allowed cash purchasers of property valued at $5 million or more to have up to 90 days to finance the property and not have to pay the full basic rate for the loan policy. Although a simultaneous rate credit existed before, the rule did not allow 90 days to obtain the credit. The Statistical Plan will now have code number 3211 for tracking this transaction.
 
The change to Rate Rule R-8 extends the number of years a discount is available to a consumer who renews a loan policy from seven to eight years after the original policy was issued. The Statistical Plan will now have code number 4008 to account for these renewals.
 
As proposed, the revision to §9.401 included an effective date of January 1, 2020, for the adoption by reference of the rules in the Texas Title Insurance Statistical Plan. However, because the date included in the proposal has passed, TDI has revised the amendment to §9.401 to make the adoption by reference effective April 1, 2020.
   
TLTA worked with TDI staff on the development and adoption of these amendments. 
 
If you have comments, concerns or questions, please contact us at 512.472.6593 or tlta@tlta.com.