SUBSTITUTE SENATE BILL NO. 6589
C 076 L 90
State of Washington 51st Legislature 1990 Regular Session
By Senate Committee on Financial Institutions & Insurance (originally sponsored by Senators von Reichbauer, Moore and Johnson)
Read first time 1/25/90.
AN ACT Relating to title insurers; and amending RCW 48.29.020 and 48.29.040.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:
Sec. 1. Section .29.02, chapter 79, Laws of 1947 as amended by section 12, chapter 86, Laws of 1955 andRCW 48.29.020 are each amended to read as follows:
A title insurer shall not be entitled to have a certificate of authority unless it otherwise qualifies therefor, nor unless:
(1) It is a stock corporation.
(2) It owns or leases and maintains a complete set of tract indexes of the county in which its principal office within this state is located.
(3) It deposits and keeps on deposit with the commissioner a guaranty fund in amount as set forth in RCW 48.29.030 and comprised of cash or public obligations as specified in RCW 48.13.040.
Sec. 2. Section .29.04, chapter 79, Laws of 1947 as amended by section 17, chapter 193, Laws of 1957 and RCW 48.29.040 are each amended to read as follows:
(1) Subject to the deposit requirements of RCW 48.29.030, a title insurer having its principal offices in one county may be authorized to transact business in only such additional counties as to which it owns or leases and maintains, or has a duly authorized agent that owns or leases and maintains, a complete set of tract indexes.
(2) A title insurer not authorized to transact business in a certain county may purchase a title policy on property located therein from another title insurer which is so authorized in that county. The first title insurer may thereafter issue its own policy of title insurance to the owner of such property. The first title insurer may combine the insurance on the title of such property in a single policy which also insures the title of one or more other pieces of property. The first title insurer must pay the full premium based on filed rates for the policy, and must charge the precise same amount to its own customer for the insurance as to the title of such property. A title insurer using the authority granted by this subsection in a transaction must so notify its customer.