Section 23-63-614 - Domestic title insurance and aviation title insurance reserves

(a) In addition to an adequate reserve as to outstanding losses, a domestic title insurer shall maintain its own guaranty fund or unearned premium reserve of no less than ten percent (10%) of the total amount of the risk premium written in the calendar year for title insurance contracts, which shall be assigned originally to the reserve.(b)(1) During each of the twenty (20) years after the year in which a title insurance contract was issued, the reserve applicable to the contract may be reduced by five percent (5%) of the original amount of the reserve.(2) This section does not apply to foreign or alien title or aviation title insurers licensed in this state.Acts 2003, No. 1787, § 1.