Sections 1 through 18 [59A-30A-1 to 59A-30A-18 NMSA 1978] of this act may be cited as the “Title Insurance Guaranty Act”. History: Laws 1999, ch. 60, § 1. ANNOTATIONS Effective dates. — Laws 1999, ch. 60 contained no effective date provision, but, pursuant to N.M. Const., art. IV, § 23, was effective June 18, 1999, […]
A. A person recovering under the Title Insurance Guaranty Act shall be deemed to have assigned his rights and claims under the insolvent insurer’s policy to the association to the extent of his recovery from the association. Every insured seeking the protection of the Title Insurance Guaranty Act shall cooperate with the association to the […]
A person having a claim under any other title insurance policy that is not an insolvent insurer’s policy, which is also a covered claim, shall first exhaust his rights under such other title insurance policy. An amount payable for a covered claim shall be reduced by the amount of any recovery under such other title […]
A. To aid in the detection and prevention of title insurer insolvencies, the association’s board of directors may, upon majority vote: (1) make recommendations to the superintendent for the detection and prevention of insolvencies; and (2) respond to requests by the superintendent to discuss and make recommendations regarding the status of a member insurer whose […]
The association is subject to the superintendent’s examination and regulation pursuant to Chapter 59A, Article 4 NMSA 1978. The board of directors shall submit, not later than June 30 each year, a financial report for the preceding calendar year prepared by an independent certified public accountant acceptable to the superintendent. The financial report shall be […]
A. An insured whose claim is denied in whole or in part by the association may request the receivership court, or the ancillary receivership court in this state, to review the association’s decision. The request for review shall be filed within thirty days after the date of denial. The receivership court and ancillary receivership court […]
The title insurance rates and premiums promulgated by the superintendent shall include amounts sufficient to recoup within three years after assessment a sum equal to the amounts paid to the association by the member insurers, less amounts returned to the member insurers by the association. Rates shall not be deemed excessive because they contain an […]
A. There shall be no liability on the part of, and no cause of action of any nature shall exist against, a member insurer, the association or its agents or employees, the board of directors, an individual director or the superintendent or his representative for an action taken by them in connection with carrying out […]
All proceedings in which the insolvent insurer is a party or is obligated to represent a party in a court in New Mexico shall be stayed for not to exceed six months from the date of a finding of insolvency to permit proper representation by the association of all pending causes of action. As to […]
A. The superintendent shall by order terminate the operation of the association if he finds, after hearing, that there is in effect a statutory or voluntary plan that: (1) is a permanent plan that is adequately funded or for which an adequate means of funding is provided; and (2) extends or will extend, to New […]
The purpose of the Title Insurance Guaranty Act is to provide a mechanism for continuation of coverage and payment of covered claims under certain title insurance policies, to avoid excessive delay in payment and avoid financial loss to policyholders because of insolvency of a title insurer, to assist in detection and prevention of title insurer […]
The Title Insurance Guaranty Act applies to all insurers authorized to transact title insurance business in New Mexico. History: Laws 1999, ch. 60, § 3. ANNOTATIONS Effective dates. — Laws 1999, ch. 60 contained no effective date provision, but, pursuant to N.M. Const., art. IV, § 23, was effective June 18, 1999, 90 days after […]
As used in the Title Insurance Guaranty Act: A. “account” means an account created by Section 5 of the Title Insurance Guaranty Act; B. “association” means the title insurance guaranty association; C. “covered claim” means an unpaid claim of an insured in excess of one thousand dollars ($1,000) covered under and not in excess of […]
All member insurers shall remain members of the association as a condition of their authority to transact insurance in this state. The association may take the form of any appropriate legal entity under New Mexico law, including a corporation, partnership or unincorporated association, as approved by the superintendent. For purposes of administration and assessment, the […]
A. The association’s board of directors shall consist of not less than five nor more than eleven appointed members serving terms as provided in the association’s plan of operation, and the superintendent or his designated representative as an ex-officio member. Appointed board members shall be selected by member insurers, subject to the superintendent’s approval. A […]
A. The association shall: (1) be obligated to the extent of covered claims arising from policies of an insolvent insurer issued prior to the finding of insolvency, except that the association shall not be obligated as to policies replaced by another title insurance policy that covers the claim. In no event shall the association be […]
A. The association shall submit to the superintendent a plan of operation and amendments to the plan necessary or suitable to ensure the fair, reasonable and equitable administration of the association. The plan of operation and amendments shall become effective upon the superintendent’s written approval. If, at any time, the association fails to submit the […]
A. The superintendent shall: (1) promptly forward to the association a copy of any complaint or petition seeking an order of liquidation with a finding of insolvency against a title insurer; (2) notify the association that a title insurer has been found to be an insolvent insurer not later than three days after he receives […]
