Bulletin: WV000017

Dear Associates:

Attached to this bulletin is the final rate manual for policies issued on property located in West Virginia. Conversations and communication with the West Virginia Insurance Commission has required certain revisions in order for the manual to be approved.

There are two major changes from the manual distributed previously as part of West Virginia Bulletin No. 000016:

1. PREMIUM CALCULATIONS MUST BE BASED ON THE ACTUAL POLICY AMOUNT. Agents must no longer round up to the next $1000.00. Note that the rates themselves have not changed, only the manner in which they are calculated. For example, the premium for a loan policy for $85,600 would have calculated on $87,000, and resulted in a charge of $252.30. Now the premium must be calculated on $85,600, which results in a charge of $248.24. Please alert your software provider to make the necessary change.
   
   
2. AGENTS MAY NOT CHARGE A COMMITMENT FEE (per se). The Insurance Commission considers the commitment to be an insurance product. If a commitment fee is charged, its rate must be filed by the underwriter. We have elected not to file a rate for commitments. However, the Commission has ruled that an agent may charge a commitment preparation fee, as long as it is shown on the settlement statement as such, or language equivalent, to show that it is an agent labor charge and not related to the title insurance.

Again, please note that all title insurance premiums and rates are mandatory and are not subject to negotiation. These rates are to be put into effect immediately.  Click here to view the West Virginia Schedule of Charges and Forms.