The title insurance industry generated $3.92 billion in title insurance premiums during the first quarter of 2020, compared to $3.07 billion during the same period a year ago, according to the latest Market Share Analysis from the American Land Title Association (ALTA)
“With title insurance premium volume dependent on mortgage origination volume, all 50 states and the District of Columbia showed first-quarter premiums written increasing 27.5%, compared to the first quarter of the previous year,” said Diane Tomb, ALTA’s chief executive officer. “While the COVID-19 pandemic has shifted consumer demand in housing, origination volume in the first-quarter continued to hover near historic levels.”
Overall, total operating income for the industry was up 26.3%, operating expenses were up 25.3 percent, and loss and loss adjustment expenses were up 11.7 percent. Through the first quarter of 2020, the industry has paid more than $409 million in claims.
“The title insurance industry remains in strong financial position with total assets over $9.7 billion, including $8.8 billion in cash and invested assets,” Tomb said. “Additionally, statutory surplus is almost $4.7 billion and statutory reserves are strong at over $4.3 billion.”
During the latest quarter, the industry paid $126.0 million in claims, down from $128.3 million in claims paid during the first quarter of 2019.