New Mexico Title Rates to Decrease 6%
April 5, 2022
Title insurance rates will decrease 6% in New Mexico on July 1, the state’s Office of Superintendent of Insurance reported.
This is the largest reduction in a decade, according to the regulator. The Office of Superintendent of Insurance sets rates through ratemaking hearings every odd-numbered year.
Considering the facts and circumstances involved in the rate case, the New Mexico Land Title Association (NMLTA) believes the rate decrease is acceptable to the title industry. The association worked hard on behalf of the title industry to maintain reasonable and fair premium rates in New Mexico.
“The 2021 New Mexico Biennial Rate Hearing was recently completed following months of proceedings, discovery and negotiations between the New Mexico Office of Superintendent and interested parties from the title industry, including the New Mexico Land Title Association," the NMLTA said in a statement. "The OSI ultimately issued a Final Order reflecting a decrease in premium rates of 6%. This rate decrease was a negotiated compromise between the OSI and the title industry."
The industry generated $167.3 million on title insurance premiums in 2021. This was up from $130.3 million in 2020.
“Inflation is rising, gas prices are rising, groceries are rising, costs to New Mexicans overall are rising and yet the title insurance industry had their best quarter on record last year, collecting $6.8 billion nationwide in premiums during the third quarter of 2021,” said Superintendent of Insurance Russell Toal. “Increasing title premium rates or even leaving them flat was not in the best interests of New Mexico consumers.”
Contact ALTA at 202-296-3671 or [email protected].