ND HB1312

Amends North Dakota Century Code section 26.1-20-04 to increase title insurance company exposure limits from 50 percent of paid-up capital and surplus to 90 percent of the sum of surplus as regards policyholders and statutory premium reserves.

Allows title insurance companies to exceed the 90 percent limit if excess liability is reinsured with an authorized title insurance company or through alternatives specified in subsections 3 or 4.

Permits reinsurance on individual or facultative basis from unauthorized title insurance companies if the reinsurer has at least $20 million in combined capital and surplus and is domiciled and authorized in another state.

Allows title insurance companies to obtain reinsurance through reinsurance treaties or agreements from assuming insurers with A.M. Best financial strength rating of B+ or better, or equivalent alternative rating approved by the commissioner.

Passed with overwhelming bipartisan support: House vote 90-0 (4 absent) and Senate vote 45-0 (2 absent).