SB 18-125

Senate Bill 18-125, now signed into law, requires companies that provide title insurance and related real estate services in Colorado to manage funds belonging to others with the highest level of responsibility. This means these companies must handle money received during real estate transactions very carefully and according to strict rules set by the state’s insurance commissioner. The new law affects anyone involved in a real estate transaction where title insurance is required, ensuring that their financial interests are protected. Since the bill has been signed, it is now enforceable law in Colorado.

Official Summary

The bill requires title insurance entities and affiliates or subsidiaries to hold funds belonging to others in a fiduciary capacity. 'Fiduciary funds' means all funds received in conjunction with real estate closing and settlement services. The commissioner of insurance shall promulgate rules regarding fiduciary funds. (Note: This summary applies to the reengrossed version of this bill as introduced in the second house.) , Read More

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