An interesting question at best. I have heard from dozens of people who feel as I do - that Fidelity National Title Company was terrific during the escrow and closing process...............
but when a problem occurred with the property their was absolutely no one their to help the insured. The claims counsel assigned to the claim was not their to assist the claimant, the insured, but rather was there to represent Fidelity National Title Insurance Company and their shareholders - of which the company take pride in the fact that the employees are shareholders. To me this is a conflict in interest as the more claims that are not paid - the more valuable the shares of Fidelity National Title become.
Additionally, which is not apparent at first, all of the communication and the distances of the Fidelity National Title employees and people they hire such as the appraiser are designed to make suing them difficult and expensive and inaccessible.
My advise for working with a company like Fidelity National Title Insurance Company is to get everything in writing. When something is not clear push hard for clarity - in writing. When you receive a generic legalize type letter push hard for clarity - in writing.
I believe the treating of claims is completely hidden from the insureds when they purchase their title insurance. There is no one there to truly represent your interests in your property - at least there was not in my case. The claims counsels were there to represent the bottom profit line of Fidelity National Title.
Fidelity National Financial generates approximately seven billion in annual revenue from their title and real estate related operations.
ReplyDeleteFidelity National Financial title insurance underwriters include– Fidelity National Title, Chicago Title, Ticor Title, Security Union Title, Aero Records and Title, Alamo Title Insurance, Commonwealth, Lawyers Title, and Security Union.
Fidelity issues approximately half of the title insurance contracts in the United States.
In addition to its title insurance operations.
Fidelity National Financial owns stakes in:
-American Blue Ribbon Holdings, LLC
-O'Charley's
-Ninety Nine Restaurant
-Max & Erma's
-Village Inn
-Bakers Square
-Stoney River Legendary Steaks
-Remy International, Inc
-Digital Insurance, Inc
-Ceridian Corporation, a leading provider of global human capital management and payment solutions.
Alleged insurance protection paid for by consumers certainly has provided Fidelity a significant amount of non related insurance industry business to serve their bottom line. No wonder Fidelity, 99% of the time, rejects claims. It's the only time they are in the 99%!
What can I say?? Obviously I am not the only person who feels that Fidelity National Title did not represent my interest in my real property.
ReplyDeleteI feel that this statistic - that is that 99% of the time Fidelity National Title Insurance Company rejects claims made against them is most likely correct
- does anyone know how we can actually find out and verify this statistic??
The title insurance industry maintains that it has significant costs to offering title insurance policies, but the majority of the costs are not for losses or operating costs to generate the insurance policy.
ReplyDeleteInstead, the majority of the premium is split
with title agents who can receive as much as 90 percent of the premium dollars.
Title insurers pay about 5 percent of premium dollars on claims, compared to about
80 percent for auto and home insurers. Between 1995 and 2004, title insurance loss ratios averaged 4.6 percent and the loss ratio was below five percent eight out of ten years.
First American Title received $3.4 billion in premiums in 2003 but paid only $41.7million in claims – or a 1.2 percent loss ratio.
Has anyone else noticed the new State Farm Insurance commercials? State Farm Insurance offers, Home, Auto, Life and now BANK? What does this mean? Insurance companies are also advertising openly that they are in the banking industry now? I have read on this blog that Fidelity has many other financial interests such as restaurants and human capital (human capital?) But what does this mean to the consumer when the insurance industry is also the banking industry? Eventually the insurance industry could end up owning every aspect of where the consumers hard earned money ends up. If State Farm is a bank and they loan you money for your house. And let's say there is a problem with the title (like many who have written here on this blog). And then let's say the title company rejects your claim (which is what the majority of these post talk about). As a result of how the title company handles your claim, you lose you home due to the financial burden of the lawsuits brought against you from the title problem. If State Farm is the bank. Then, not only does State Farm have some control with the standards of the claim process in the insurance risk industry, but now State Farm Insurance has total control over foreclosure on the property. The industry of insurance seems to be out of control and creating a monopoly the world has never seen.
ReplyDeleteI am in agreement - it does appear the more I delve into this industry - the more it appears that the word "insurance" is perhaps a misnomer.
DeleteUse social marketing to build word-of-mouth awareness.
ReplyDeleteTry tweeting your dissatisfaction.
With any luck, within two minutes or so, you'll get a reply tweet from the head of corporate communications. During which they apologized and offer a resolution.
Then you can tweet about the great response you got.
Savvy companies already know how social media works.
If the insurance industry is going to play monopoly god, they better get some skills at the art of damage control.
Thank you - and I understand what you are saying about tweeting. Unfortunately I work full time (this is my new hobby since I caved and settled) and it allows me to not only make people aware of what the title insurance industry is doing and specifically Fidelity National Title but it also allows me to provide useful information for others involved in claims.
ReplyDeleteSo although an apology would be nice....................... it does not solve the problem that people all over the country are filing claims and are clueless that their title insurance claims counsel is representing the interest of the company and not them (the claimant/insured).
A pat on the head from corporate communications is not going to satisfy me - but on the other hand if you are good at tweeting and want to send even more people to this blog - this would truly be a great service to us all. So far many thousands of people have found there way here - I know I am starting to get good Google SEO ranking - but any help is welcome!!
My goal is to end what I see as their personal greed as employee/stockholders and to actually start insuring people's interest in their real estate. They did not insure mine - and I hope to change this situation for others.
I, too, had a horrible experience with Fidelity National Title Insurance Company when I had to make a claim. I am still fighting with them trying to get them to represent my interest in my real estate - which is the reason I purchase the policy in the first place. A joke. A flipping joke. My advise is that when it is time to purchase title insurance if you real estate agent suggests Fidelity run as fast as you can in the opposite direction.
ReplyDelete