Industry News

LandAmerica donates $1M to resolve kickback probe

Arizona insurance department eyed company practices

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LandAmerica Financial Group will contribute $1 million to the Arizona chapters of the American Red Cross to settle a probe into the company's practices by the state insurance department. This is the second settlement between the department and a major title insurer to be announced this week. On Thursday, Fidelity National Title Insurance Group announced that it has agreed to refund more than $600,000 to nearly 4,000 title insurance policyholders in Arizona as a result of a multistate settlement. The $1 million LandAmerica donation will benefit state residents and Hurricane Katrina refugees brought to Arizona. Alleged kickbacks in the real estate title insurance arena have taken center stage this year, sparked by a Colorado inquiry into title insurance practices. John Garamendi, California's insurance regulator, announced in July that three major title insurers would pay more than $37 million to settle charges of kickbacks to lenders, builders and real estate agents. "We got creative ...