Senate approves fee on title agents to fund enforcement of anti‑rebating rules

Senators on March 3 approved first substitute House Bill 2 65 to authorize the insurance department to assess a fee on title agents (described on the floor as roughly $150 per office in each county where an office exists) to fund the department's enforcement of rules governing unfair inducements and marketing practices in the title insurance industry.

Sponsor remarks described the fee as dedicated exclusively to enforcement: "The bill allows the department to assess a fee on title agents ... which will be expended by the insurance department only to pay for costs or expense incurred by the department in the administration and enforcement of these provisions." Senators questioned whether the division already had a full‑time employee handling enforcement and requested the bill be "circled" (held) while staffing was confirmed. The sponsor described the fee as a way to provide resources because the commissioner lacked enforcement capacity; the fiscal estimate given on the floor was about $50,000 annually statewide.

After additional floor discussion and assurances from the sponsor that the association supported the fee, the Senate returned the first substitute and voted to pass the bill under suspension of the rules; the clerk recorded 23 aye votes, no nay votes, and 6 absent. The measure will be signed by the president and returned to the House for enrolling.

Next steps: the insurance department will implement the fee if the bill is enacted and will use proceeds for enforcement activities; transcript indicates the department and title industry representatives plan to work on rules and implementation details.