381.085. Forms, director to approve before use--contents concerning coverage of policy, when included--disapproval by director, procedure.

MISSOURI STATUTES AND CODES

381.085. Forms, director to approve before use--contents concerning coverage of policy, when included--disapproval by director, procedure.

Forms, director to approve before use--contents concerning coverage ofpolicy, when included--disapproval by director, procedure.

381.085. 1. As used in sections 381.011 to 381.412, the terms"search", "search of the public records", or "search of title", mean asearch of those records established by the laws of this state for thepurpose of imparting constructive notice of matters relating to realproperty to purchasers for value and without knowledge.

2. A title insurer shall not deliver or issue for delivery or permitany of its authorized title agencies or title agents to deliver in thisstate any standard form providing coverage, in connection with titleinsurance written, unless the standard form has been filed with thedirector thirty days prior to use.

3. Forms covered by this section shall include:

(1) Title insurance policies, including standard form endorsements;

(2) Title insurance commitments issued prior to the issuance of atitle insurance policy; and

(3) Closing or settlement protection letters.

4. Any term or condition related to an insurance coverage provided bya title insurance policy or any exception to the coverage, exceptexceptions ascertained from, or affirmative coverages offered as a resultof, a search and examination of records relating to a title or inspectionor survey of a property to be insured, may only be included in the policyafter the term, condition or exception has been filed with the director asherein provided.

5. The director shall review such form, term, condition, or exceptionwithin thirty days. If within this time the director believes the form,term, condition, or exception is not in compliance with the insurance lawsof this state or does not contain such words, phraseology, conditions, andprovisions which are specific, certain, and unambiguous and reasonablyadequate to meet the needed requirements of those insured under suchpolicies, the director may schedule a hearing to be held within sixty daysand at such hearing receive evidence and suggestions of law on the matter.

6. If the director determines after a hearing that a form, term,condition, or exception shall be disapproved, the director shall issue anorder disapproving the form, term, condition, or exception in a record andwith findings of fact and conclusions of law in accordance with theprovisions of chapter 536, RSMo. A final order may not be issued unlessthe director specifies the provisions of law that have not been compliedwith or the words, phraseology, conditions, or provisions which are notspecific, certain and unambiguous and reasonably adequate to meet theneeded requirement of those insured under such policies. A final order ofdisapproval is subject to judicial review under the provisions of chapter536, RSMo. During the pending of any proceeding under this section, allsuch forms may be used, but this provision shall not deprive the directoror department of any other enforcement power over such forms that may beotherwise provided by law.

7. The failure of the director to seek disapproval does notconstitute an approval or endorsement of the form, term, condition, orexception by the director. It is unlawful to make any representation thatthe director has approved a form, term, condition, or exception filed underthis section.