Title insurance

The plunge in mortgage volumes 2021 highs led to reduced business for insurers, while growing acceptance of attorney-opinion letters pose a greater competitive threat.

The company reported a net loss of $84.1 million in the third quarter and blamed the performance on interest rate hikes, inflation and supply chain woes.

Replacing title policies with attorney opinion letters could exacerbate consumer and lender risks now and into the future, writes the president of Incenter's Boston National Title Agency.

Other offerings update the company's platform for hybrid and virtual closings, and allow borrowers to get an appraisal waiver pre-check before submitting a loan.

Only Stewart reported a quarter-to-quarter increase in net income, while upstart Doma is reducing headcount by 15%.

The industry trade group warns that attorney opinion letters may introduce additional risk, but vendors offering them said their products can sufficiently protect ownership of mortgaged properties at a lower price.

One company that has responded with a new product thinks it can avoid roadblocks past attempts encountered by coupling automation with errors-and-omissions insurance.

The government-sponsored enterprise will now accept a written opinion from an attorney in lieu of a policy for some transactions.