Wyo. Code R. 044-0002-3
Effective Date: 01/27/2016 to Current
Rule Type: Current Rules & Regulations
Reference Number: 044.0002.3.01272016
REGULATIONS GOVERNING THE TRANSACTION OF CONTROLLED BUSINESS BY TITLE INSURERS AND TITLE AGENTS
Section 1. Authority
These regulations governing the transaction of controlled business by title insurers and title agents supplement the provisions of W.S. § 26-23-301, et seq. They are promulgated by the authority of and pursuant to the Wyoming Administrative Procedure Act, W.S. §§ 16-3-101 through 16-3-115, W.S. § 26-23-333 and W.S. § 26-2-110.
Section 2. Definitions
All definitions shall be as identified in W.S. § 26-23-303.
Section 3. Disclosure by Producer of Controlled Business
Title insurers or agents may not transact any business for title insurance or title services if they know or have reason to believe that the insurance referral involves controlled business unless fully disclosed to the buyer, seller, or lender. The disclosure must be made by the producer or the producer's associate in writing on forms prescribed by the commissioner. The title insurer or agent shall maintain the disclosure forms for a period of five (5) years.
Section 4. Forms Showing Financial Interest to Be Filed with Commissioner
Each title insurer and title agent shall file with the commissioner, on forms prescribed by the commissioner, reports setting forth the names and addresses of those persons, if any, who have had a financial interest in the title insurer or title agent during the calendar year, who are known or reasonably believed by the title insurer or title agent to be producers or the producer's associates of title business.
(a) Each title insurer shall file the report required under this section with its application for a license, and upon renewal by March 1.
(b) Each title agent shall file the report required under this section upon initial application, and annually upon license renewal. An updated report shall be filed any time the information provided in the last report has changed.
Section 5. Restrictions upon the Writing of Controlled Business
No title insurer or title agent may accept an order for title insurance business, issue a title insurance policy, receive or retain any premium or charge in connection with any title insurance transaction if:
(a) The title insurer or title agent knows or has reason to believe that the transaction will constitute controlled business for that title insurer or title agent, and
(b) Twenty-five percent (25%) or more of the gross operating revenue of that title insurer or title agent in the calendar year in which the transaction takes place is derived from controlled business.
The restrictions imposed by these regulations shall not apply to any producer or associate who, on or before October 28, 1983, a financial interest in any title insurer or title agent to which business is referred and no additional financial interest in any title insurer or title agency has since been acquired.
These regulations are effective immediately upon filing with the Secretary of State.