Bill Text: CA AB2198 | 2025-2026 | Regular Session | Amended
Bill Title: Title insurance.
Sponsorship: Partisan Bill (Democrat 1)
Status: (Engrossed) 2026-08-13 - In committee: Held under submission. [AB2198 Detail]
Download: California-2025-AB2198-Amended.html
|
Amended
IN
Assembly
April 09, 2026 |
CALIFORNIA LEGISLATURE—
2025–2026 REGULAR SESSION
Assembly Bill
No. 2198
| Introduced by Assembly Member Michelle Rodriguez |
February 19, 2026 |
An act to amend Section 12401.7 of Sections 12401.1 and 12401.7 of, and to repeal and add Section 12401.9 of, the Insurance Code, relating to insurance.
LEGISLATIVE COUNSEL'S DIGEST
AB 2198, as amended, Michelle Rodriguez.
Title insurance.
Existing law requires a title insurer, underwritten title company, or controlled escrow company to file with the Insurance Commissioner its schedules of rates, all regularly issued forms of title policies to which those rates apply, and every modification to those forms and title policies that it proposes to use in this state. Existing law requires the filings to include the effective date and the character and extent of coverages and services contemplated. Existing law prohibits a title insurer, underwritten title company, or controlled escrow company from using a rate prior to the effective date or prior to having the filing publicly displayed for less than 30 days in the office of the company in the county to where the rate applies. Existing law requires the schedule of rates to be printed or typed in
type not smaller than 10 point, and requires that full copies are kept at all times available to the public and prominently displayed in a public place in every office of a title insurer, an underwritten title company, and a controlled escrow company in the county where the rates apply.
This bill would require only a title insurer to file with the commissioner its schedules of rates, all regularly issued forms of title policies to which those rates apply, and every modification to those forms and title policies that it proposes to use in this state. The bill would require a title insurer to also file its schedule of escrow rates if the title insurer conducts escrow services. The bill would additionally modify the documents controlled escrow companies and underwritten title companies are required to file. The bill would authorize the commissioner to object to a new or modified rate and prohibit that rate from becoming effective unless the commissioner’s objection is
resolved.
The bill would remove the requirement that the schedule of rates be printed and modify the requirement that they be publicly available by instead requiring the schedule of rates to be made publicly available by means of a clear and conspicuous link posted on the internet website of the title insurer, underwritten title company, or controlled escrow company that has filed the rate schedule, for so long as those rates remain effective. The bill would additionally require an underwritten title company to maintain a complete copy of each title insurer’s rate schedule that the underwritten title company has used for issuing title policies for a minimum of 7 years. The bill would require a notice to be posted in the applicable office that a specified rate schedule would be readily accessible for public viewing in the office of a title insurer, underwritten
title company, or controlled escrow company, upon request and as specified.
Existing law prohibits a title insurer, underwritten title company, or controlled escrow company from using any rate in the business of title insurance before its effective date or before it has been publicly displayed, as specified, for at least 30 days. Existing law provides that no rate increase shall apply to title policies or services that have been contracted for prior to the rate’s effective date.
This bill would require the rate be displayed both in physical form and through electronic publication on the company’s publicly accessible internet website for no less than 40 days.
Digest Key
Vote: MAJORITY Appropriation: NO Fiscal Committee: YES Local Program: NOBill Text
The people of the State of California do enact as follows:
SECTION 1.
Section 12401.1 of the Insurance Code is amended to read:12401.1.
(1) A schedule of rates filed by a title insurer shall set forth list the entire charge to the public for each type of title policy included within such schedule and shall include without separate statement thereof that portion the schedule, without a separate statement
of the portion of the charge, if any, which is based upon work performed by an underwritten title company; there shall be no separate filing by an underwritten title company for such work. Every company.
(2) If the title insurer conducts escrow services, it shall also file with the commissioner its schedule of escrow rates and other services. The title insurer may file these separately.
(3) A rate
filing shall set forth include its effective date, which shall be not earlier than the 30th day following 30 days after its receipt by the commissioner, and shall indicate the character and extent of the coverages and services contemplated.
(4) (A) A title insurer shall also file with the commissioner every regularly issued form of title policy and endorsement to the policy, which shall not be issued until the rate for the form, if any, has become
effective pursuant to Section 12401.7.
(B) A title insurer may issue, without a separate filing, any form of title policy and endorsement already filed with the commissioner by an advisory organization established pursuant to this chapter of which the title insurer is a member, provided a rate for that policy or endorsement has been filed by the title insurer and has become effective pursuant to Section 12401.7.
(b) (1) An underwritten title company or controlled escrow company shall file with the commissioner their schedule of escrow rates and other services. A filing by an underwritten title company or controlled escrow company shall include its effective date, which shall be no earlier than 30 days after its receipt by the commissioner, and shall indicate the character and extent of the services contemplated.
(2) An underwritten title company shall not be required to file the title insurance rates or forms established by a title insurer. An underwritten title company shall only charge for title insurance in compliance with the title insurer’s currently effective rate schedule.
(c) A filing by a title insurer, an underwritten title company, or a controlled escrow company shall specify any new or modified rate and include both a redline and clean version of the entire rate schedule that includes that rate. A filing of a modified form shall also include both a redline and clean version of that form. The commissioner may object to a new or modified rate if it does not meet the criteria set forth in Section 12401.3. If the commissioner objects, the rate shall not be effective unless the objection of the commissioner is resolved.
(d) Nothing in this section shall limit the authority of the commissioner to conduct a review of the existing rates of a title insurer, an underwritten title company, or a controlled escrow company pursuant to Article 6.7 (commencing with Section 12414.13) and Article 6.9 (commencing with Section 12414.20) of this chapter.
SEC. 2.
Section 12401.7 of the Insurance Code is amended to read:12401.7.
(2) For purposes of this section, rates are
considered publicly available if they are directly accessible to the public through a clear and conspicuous link to the filing on the internet website of the title insurer, underwritten title company, or controlled escrow company that filed the rate schedule in compliance with Section 12401.9.
(b) A rate increase shall not apply to title policies or services that have been contracted prior to the effective date of the increased rate.
SEC. 3.
Section 12401.9 of the Insurance Code is repealed.The schedules of rates which are required to be filed with the commissioner under the provisions of Section 12401.1 shall be printed or typed in type not smaller than 10-point and, so long as they are effective, full copies thereof, showing their effective date or dates, shall be kept at all times available to the public and prominently displayed in a public place in each office of a title insurer, an underwritten title company and a controlled escrow company in the county to which such rates apply. On request, copies of such schedules or adequate summaries of the pertinent part or parts thereof shall be furnished to the public.
SEC. 4.
Section 12401.9 is added to the Insurance Code, to read:12401.9.
(a) The schedules of rates that are required to be filed with the commissioner under Section 12401.1 shall be made publicly available by means of a clear and conspicuous link posted on the internet website of the title insurer, underwritten title company, or controlled escrow company that has filed the rate schedule, for so long as those rates remain effective.(b) An underwritten title company shall also post on its internet website a clear and conspicuous link to the schedule of title insurance rates of each title insurer it uses for the issuance of title policies, for so long as those rates remain effective. An underwritten title company shall additionally maintain a complete copy of each title insurer’s rate schedule that the
underwritten title company has used for issuing title policies for a minimum of seven years.
(c) (1) Upon request, a rate schedule required to be posted on an internet website shall be made readily accessible for public viewing in each office of the title insurer, underwritten title company, or controlled escrow company, either in printed form or by displaying an electronic version.
(2) A title insurer, underwritten title company, or controlled escrow company subject to this section shall clearly and conspicuously display in each office, in printed type not smaller than 28 point, a notice indicating that, pursuant to California law, applicable rate schedules will be made immediately available upon request.
A title insurer, underwritten title company, or controlled escrow company shall not use a rate in the business of title insurance prior to its effective date nor
prior to the filing with respect to such rate having been publicly displayed and made readily available to the public, both in physical form and through electronic publication on the company’s publicly accessible internet website, for a period of no less than 40 days in the office of the title insurer, underwritten title company, or controlled escrow company in the county to which such rate applies, and
a rate increase shall not
apply to title policies or services which have been contracted for prior to the effective date.
