Title insurers question California's right to regulate rates

Industry reacts to proposal to rollback rates by $1 billion a year

SAN FRANCISCO — California regulators have yet to prove a lack of competition in the title insurance industry that would give the state the legal authority to move forward with a plan to roll back and cap rates, industry advocates said Wednesday at a public hearing on proposed new regulations.

Insurance Commissioner John Garamendi wants to roll rates back to where they were six years ago, before a run-up in housing prices.