IL SB2947

Requires title insurance agents to disclose any felony or misdemeanor convictions involving theft or dishonesty in their registration affidavit, with agents having such convictions requiring written Secretary notification and permission to serve in management roles.

Prohibits title insurance agents from acting as escrow agents in nonresidential real property transactions with settlement funds under $2,000,000 or in residential transactions unless a title insurance company has committed to issue title insurance and authorized the agent.

Mandates that escrow funds be deposited in separate fiduciary trust accounts at federally-insured financial institutions, segregated by transaction, with interest paid to the depositing party unless otherwise instructed.

Requires agency contracts between title insurance companies and agents to provide escrow protection equivalent to what would be provided under a closing protection letter issued under Section 16.1 of the Act.

Establishes that title insurance companies are liable for their agents' escrow activities only to the extent authorized in agency agreements or closing protection letters, and prohibits companies from paying fee portions to escrow agents.