AL SB210

Permits title insurers to issue closing or settlement protection coverage to parties in real estate transactions, notwithstanding existing prohibitions on title insurers transacting other forms of insurance.

Requires closing or settlement protection forms to be submitted to and approved by the Commissioner of Insurance before use.

Limits coverage to losses from theft or misappropriation of settlement funds or failure to comply with written closing instructions, only when such acts relate to title status or mortgage lien validity and priority.

Establishes minimum fees approved by the commissioner: $25 per party for buyers or lenders receiving a title insurance policy, and $50 per party for sellers conveying title or providing owner financing without receiving a loan policy.

Requires title insurers to obtain written acknowledgment from parties that they have received notice of closing or settlement protection availability and fees, and may cure omission of this statement by certified letter to the purchaser before any claim notice.