Home

 Colorado Revised Statutes

 Search

 Browse

 Colorado Register

 eDocket

 Log in

 Contact Us

Code of Colorado Regulations eDocket
Official Publication of the State Administrative Rules (24-4-103(11) C.R.S.)

Details of Tracking Number  2016-00609


CCR details

Tracking Number 2016-00609
Type of Filing Permanent Rule
Department 700 Department of Regulatory Agencies
Agency 702 Division of Insurance
CCR Number 3 CCR 702-3
CCR Title FINANCIAL ISSUES

Proposed rule

Notice Filed with SOS 11/29/2016
Rule ProposedRuleAttach2016-00609.doc
Statutory Authority 10-1-109, 10-2-104, 10-3-1110, 10-4-404(1), 10-11-118, and 10-11-124 (2), C.R.S.
Description of Subjects/Issues 3-5-1 The provisions of this regulation are now contained in the new 8-Series, and this regulation is no longer needed. The purposes of this regulation are: to interpret and implement the title insurance code found in article 11 of title 10 of the Colorado Revised Statutes; to promote the public welfare by proscribing practices which, if not proscribed, could result in excessive, inadequate, or unfairly discriminatory rates for title insurance, and which practices, if not proscribed, could allow unlawful inducements, deceptive trade practices, and discriminatory acts, all of which are detrimental to the consumer and, in the aggregate, may threaten the solvency of title insurance companies and title insurance agents; and to ensure to the consumers the benefits of competition in the area of title insurance.
Purpose/Objective of Rule The purposes of this regulation are: to interpret and implement the title insurance code found in article 11 of title 10 of the Colorado Revised Statutes; to promote the public welfare by proscribing practices which, if not proscribed, could result in excessive, inadequate, or unfairly discriminatory rates for title insurance, and which practices, if not proscribed, could allow unlawful inducements, deceptive trade practices, and discriminatory acts, all of which are detrimental to the consumer and, in the aggregate, may threaten the solvency of title insurance companies and title insurance agents; and to ensure to the consumers the benefits of competition in the area of title insurance. In Colorado, the majority of real estate transactions require a policy of title insurance. In most instances, a consumer makes the selection of a title entity not through comparison-shopping, but rather through a referral or recommendation from a real estate broker, lawyer, developer, lender, or mortgage broker. Thus, the competition for title insurance business is not at the level of the ultimate consumer, but rather at the level of the referring parties the settlement producers. Further, increasing consumer understanding of title insurance is difficult. Since most consumers will only need to purchase title insurance a few times in their lives, there is little economic incentive for the average consumer to learn about title insurance. These factors may cause a consumer to be vulnerable to excessive rates, deceptive trade practices, and/or discriminatory acts. This regulation addresses the issues above. Its purpose is to protect the consumer, to ensure that the title industry is freely and fairly competitive, and to provide valuable products and services to consumers at reasonable rates.
Comments Being repealed as no longer needed now that the requirements of this rule are found in promulgated Colorado Insurance Regulations 8-1-1, 8-1-2, 8-1-3, 8-1-4, and 8-1-5
Submitted in response to issues raised by COLS/OLLS? No
Is this rule adopted in response to recent legislation? No
Hearing Date 01/03/2017
Hearing Time 02:00 PM
Hearing Location 1560 Broadway, Ste 850, Denver CO 80202
Contact Name Christine Gonzales-Ferrer
Contact Title Rulemaking Coordinator
Contact Telephone 303-894-2157
Contact email christine.gonzales-ferrer@state.co.us

Adopted rule

Adopted Rules AdoptedRules12016-00609.doc
Redline Redline2016-00609.doc
Adopted Date 01/11/2017
AGO requested date 01/12/2017
Attorney General Opinion 01/30/2017
Colorado Register publication date 02/10/2017
Effective Date 03/15/2017
Inserted into CCR 03/09/2017