Public Act 98-0398 (IL)

Effective Date: 1-1-2014

Title Insurance Agent Registration

Statutes Amended: 215 ILCS 155/16 (new) and 21 (new)

The new law amends the Title Insurance Act to require every application for registration of a title insurance agent to include an affidavit, which must be signed and notarized before a notary public, affirming that the applicant has no record of a conviction or a plea of guilty to any felony or misdemeanor involving a crime of theft or dishonesty. A title insurance company may not register the applicant with the conviction or plea without a separate written notification to the Secretary of the Illinois Department of Financial and Professional Regulation (the “Secretary”) disclosing the conviction or plea. A person with the conviction or plea may not serve as an owner, officer, director, principal, or manager of a registered title insurance agent without the written permission of the Secretary.

The new law also adds 11 additional grounds for the Secretary’s decision to decline to register title insurance agents, suspend or revoke registration, or impose a fine. Among them are: fraud in applying for registration; a conviction, plea of guilty, or plea of nolo contendere in this and other states to any felony or a misdemeanor involving a crime of fraud or embezzlement; inaccurate or untruthful advertising; wilful misrepresentation; false promise of a character; failure to remit money or documents; unethical conduct of a character; violation of a disciplinary order; aiding or abetting a violation of disciplinary rules; acting as a title insurance company, title insurance agent, or independent escrowee without registration after the prior registration became inoperative.

Bill Number: 
HB 1545
Public Act or Public Law Number: 
PA 98-0398
By: ATG Underwriting Department | Posted on: Thu, 02/06/2014 - 2:08pm