According to the American Land Title Association (ALTA)'s latest Market Share Analysis [1], the title insurance industry generated $6.8 billion in title insurance premiums during the third quarter of 2021. Named the best-performing quarter on record, title premium volume increased to 32.5% compared to the same period last year.
During Q3 of 2021, the total operating income for the industry was up 53.3% with operating expenses up 29.7%. Loss and loss adjustment expenses were down 10.7%, and every state except Oregon experienced an increase in volume compared with the third quarter of 2020., which only decreased 0.7%.
The five states with the largest yearly increases in title premium volumes in Q3 were:
- Texas, $943.6 million (37.7%)
- California, $788.6 million (23.9%)
- Florida, $730.1 million (49.1%)
- New York, $369.3 million (52.1%)
- Pennsylvania, $295.6 million (35.8%)
The same five states also held the top spots during the second quarter of 2021 as well.
"Not only are ALTA members handling record volume, but title industry professionals continue to help enhance the customer experience to make the settlement process more efficient," said ALTA CEO Diane Tomb [2]. “As technology automates and digitizes certain processes of the real estate transaction, ALTA members continue to deliver a valuable service and insurance product. While quicker turnaround times are desired, getting it right and performing essential duties in the settlement process and issuance of title insurance to meet customer needs will remain paramount.”
Overall for 2021, title insurance premium volume is up 43.7 percent to $19 billion, compared with the first nine months of 2020 set at $13.3 billion. The title industry has paid out approximately $352.5 million in claims during the first three quarters this year. This slightly increased from $347.8 million in claims paid during the same period last year.
Tasked with the duty to assess risks of the insurance proposals before issuing policies, the top 10 Underwriters by Q3 Market Share were:
- First American Title Insurance, 20.7%
- Old Republic National Title Insurance, 14.8%
- Chicago Title Insurance, 14.1%
- Fidelity National Title Insurance, 13.5%
- Stewart Title Guaranty, 8.2%
- Westcor Land Title Insurance, 5.9%
- Commonwealth Land Title Insurance, 4.0%
- WFG National Title Insurance, 2.7%
- Title Resources Guaranty, 2.4%
- North American Title Insurance Company, 2.1%
Although listed separately, Chicago Title is a subpart of Fidelity, which ended 2020 as the largest company by share of premiums written, with 33.9% of the market.
To view the full report, click here [3] for more market share data.