Why should a buyer of commercial or residential real estate, or an owner refinancing an existing mortgage, insist that the title insurance underwriter that’s used for their transaction be national in scope?
Let me answer that question by referencing the first job that I had out of business school as a municipal bond analyst for a large Wall Street investment bank.
There were many different types of issuers and many different types of bonds. General obligation, hospital bonds, water and sewer, turnpike and many many more.
Each had different characteristics and sources of revenue but, as an analyst, my focus was on credit quality and that issuers ability to pay principal and interest when due now and through maturity.
Similarly a homeowner should have one basic concern when choosing a title insurance underwriter and that is the ability to pay a claim if and when that situation unfortunately arises no matter what!
That is why the financial strength of the underwriter is so critical, a fact which became even more apparent during the financial crisis that began in 2007 when some regional underwriters did indeed fail.
And this is why Hallmark Abstract Service is proud to underwrite our clients transactions through the Chicago Title Insurance Company which operates under the umbrella of the Fidelity National Title Group that in turn is a subsidiary of Fidelity National Financial.
Hallmark Abstract went through an intensive vetting process by Chicago Title before being accepted as an agent because Chicago wants to make sure that firms take the care and execute the proper due diligence on transactions so that claims will never be an issue. And for Hallmark Abstract they never have.
But, if for some extraordinary reason a claim does arise, it’s good to know that you as the property owner are well protected!
‘Fidelity National Financial, Inc. (NYSE:FNF), is a leading provider of title insurance, mortgage services and diversified services. FNF is the nation’s largest title insurance company through its title insurance underwriters – Fidelity National Title, Chicago Title, Commonwealth Land Title and Alamo Title – that collectively issue more title insurance policies than any other title company in the United States.’
If you have any questions of comments about the topic of underwriters or anything else please give us a call at 516.741.4723 or send us an email at firstname.lastname@example.org.
Mike Haltman, President