NE| Nebraska Department of Insurance Issues Update to Bulletin CB-140 on September 16, 2019, Originally Issued July 10, 2018, Regarding Closing Protection Letters
The purpose of the amendment is to incorporate changes made to the Title Insurers Act in LB221, passed in the 2019 legislative session.
- Title Insurer is required to issue closing protection to an insured if the title insurer or its title agent engages in any escrow, settlement, or closing services related to the issuance of a title insurance commitment or policy
- The closing protection may be issued as a letter or policy endorsement
- The protection must indemnify the insured against losses such as theft of settlement funds, or failure to comply with written closing instructions
- Rates and forms are required to be filed with P&C division of the Department
- Title insurer may charge a fee – approved by the Department
- Fee cannot be split with Agent