Bulletin: CO2012003

Date:
September 25, 2012
To:
All Colorado Issuing Offices
RE:
Requirements for Tax Certificates and Privacy Notices

Dear Associates: 

As you know, existing statutes and regulations in Colorado govern certain things which must be included in our title commitments or must be done in connection with the issuance of commitments. It has come to our attention that we need to reemphasize certain items for purposes of compliance with these state requirements. 

Included among these things is the requirement set out in CRS 10-11-122 which provides:

Before issuing any title insurance policy, unless the proposed insured provides written instructions to the contrary, a title insurance agent or title insurance company shall obtain a certificate of taxes due or other equivalent documentation from the county treasurer or the county treasurer's authorized agent.

Keep in mind that we are not only required to comply with this statute before any policy is issued but to keep evidence of compliance with Regulation 3-5-1 and Title 10 CRS, for the purposes of possible market conduct examinations for a period of at least seven years. So, any tax certificate or written instructions to not obtain a tax certificate must be retained in our file for the required period of time. 

A second item relates to the privacy notice given to customers and consumers. Colorado Insurance Regulation 6-4-1 provides in part: 

Section 5. Initial Privacy Notice to Consumers Required. 

A.     Initial notice requirement. A licensee shall provide a clear and conspicuous notice that accurately reflects its privacy policies and practices to: 

(1)   Customer. An individual who becomes the licensees customer, not later than when the licensee establishes a customer relationship, except as provided in Subsection E of this section; and 

(2)   Consumer. A consumer, before the licensee discloses any nonpublic personal financial information about the consumer to any non affiliated third party, if the licensee makes a disclosure other than as authorized by Sections 15 and 16. 

As indicated, this regulation requires that a copy of the Stewart privacy policy is to be attached to every commitment or other title product that we issue from the time it is initially issued. You can review the Stewart privacy policy and find a copy of it in Virtual Underwriter. 

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter. 

For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.