The Law   Well the official answer is to Protect the consumer.  Whenever you see this term used by Government to justify a law, be very scared.

It has been proven time and time again that open competition and economic laws of supply and demand work.  Free markets work, as long as there is a lack of collusion by competitors to fix prices.

Sure, the government should and does do some things that are very good to protect consumers, but making everyone pay the same price, when there are different levels of risk just doe not make sense. 

If State of Texas wants to protect consumers from being over charged on title insurance, set a maximum rate and let it go from there.

We do not mean to pick just on the title insurance industry, but it is the best example of an industry using the Government to suppress competition.  In this case, not the number of competitors, but the price charged.  Now that fees are set, it’s just one less thing to worry about, a price war, which tend to be good for consumers.

Why is it OK for just about every other type of insurance to have competition, but not title insurance?

The title industry has their answers, and some may be valid. Our belief is that the insurance industry, in general, knows their stuff.  It’s their job.  They can tell you how many 33 year old males, non-smoker, living in Harris County Texas will die this year, within 2% margin or error.

You can’t tell me they don’t know how many “hidden” claims will be made against the deed of your home, within a 2% margin of error of course.

The Texas Association of Homeowners is a HUGE advocate of competition free of unnecessary government laws or rules. 

Please JOIN and help us lower your costs next time you buy or refinance your home.

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