The insurance industry generated $6.5 billion in title insurance premiums during the second quarter of 2021, according to the most recent Market Share Analysis [1]from the American Land Title Association (ALTA), a national trade association of the land title insurance industry.
ALTA CEO Diane Tomb credits a strong purchase market (along with a rebound in the commercial market), which, she says, "continues to drive the historic volume in title insurance premiums."
"Despite the recent surge of COVID-19 cases, the housing market remains robust as ALTA members across the country continue to serve the needs of their customers, protect property rights and strengthen communities," Tomb says.
In addition to the active purchase and commercial markets, continued home appreciation helped drive the 56.3% premium volume increase compared to the second quarter of 2020, according to ALTA's report.
The analysts continue, "Total operating income was up 52.4%, while operating expenses were up 50.8%, and loss and loss adjustment expenses were up 41.7%.
"Net income increased 84.6% during the latest quarter, resulting in the highest second quarter ever.
"The industry paid $221.1 million in claims through the first six months of the year. This is down from $232.9 million in claims paid during the same period a year ago.
ALTA ranked the following underwriters by market share during Q2 2021
- First American Title Insurance Co., 19.9%
- Old Republic National Title Insurance Co., 14.7%
- Chicago Title Insurance Co., 14.0%
- Fidelity National Title Insurance Co., 13.6%
- Stewart Title Guaranty Co., 8.6%
- Westcor Land Title Insurance Co., 6.2%
- Commonwealth Land Title Insurance Co., 4.2%
- WFG National Title Insurance Co., 3.0%
- Title Resources Guaranty Co., 2.6%
- North American Title Insurance Co., 1.7%
Top states in Q2, according to ALTA
- Texas, $861,348,871 (53.3%)
- California, $755,634,478 (57.6%)
- Florida, $716,995,561 (66.9%)
- New York, $328,137,447 (66.5%)
- Pennsylvania, $294,361,193 (77.1%)
ALTA represents the land title insurance industry, which employs more than 120,000 people working in every county in the United States. More than two-thirds of ALTA's 6,400 member companies are considered small businesses. ALTA members conduct title searches, examinations and closings and issue title insurance that protects real property owners and mortgage lenders against losses from defects in titles.
Visit ALTA.org [2] for more market share data.