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Washington -- Revenue for title insurance companies remained strong in the second quarter, but claims increased as well.
According to data released by the American Land Title Association here, "total revenue for the second quarter of 2005 was up 3% when compared to the record year of 2004. Revenue figures for the second quarter 2005 and 2004 were $8.2 billion and $7.9 billion, respectively," said Richard McCarthy, director of research.
Loss and loss adjustment expenses increased by 24.5% to $401 million in the second quarter. One year prior it was $322 million. The industry's loss ratio was 4.89%, up from 4.05%.
ALTA said after the increase in business in the boom years of 2002, 2003 and 2004, claims were expected to catch up.
Earnings were taking a hit ...