As a savvy homebuyer in New Jersey, you already know the importance of title insurance to protect your investment against title defects. But did you know that New Jersey regulators keep a close watch on title insurance costs? In fact, NJ has a system of robust regulation to make sure title insurance costs are fair, reasonable, and accurate.

Regulation at Every Step

NJ’s title insurance rates are filed, reviewed and regulated by state agencies to ensure compliance with state rules. The Department of Banking and Insurance along with the state’s rating bureau ensure that title insurance companies submit their rates, rules and forms for review, providing homebuyers with a safety net against overpriced policies. As the protector of consumer interest, the commissioner of banking and insurance is responsible for regulating title insurance costs in NJ, and is authorized to disapprove any rate that doesn’t comply with NJ regulations.

Variations Based on Policy Type

Though regulated, NJ’s title insurance rates can still vary depending on the type of policy you select, the property’s location and purchase price. Enhanced policies secured for additional protections come at a higher cost than the standard policies, which protect against most title defects.

Conclusion

NJ’s regulated title insurance costs exist to protect you from overpriced policies and ensure that the cost reflects the risk attached. So go ahead – invest in your next home purchase with the confidence that comes from knowing your title is secure.