Title 20, Insurance

"Fire insurance" is insurance against the perils of fire or lightning as written under the Arizona standard fire policy.

A. No policy of fire insurance covering property located in this state shall be made, issued or delivered unless it conforms as to all provisions and the sequence thereof with the basic policy commonly known as the New York standard fire policy, edition of 1943. Such policy is de…

The pages of the standard fire insurance policy may be renumbered and the format rearranged for convenience in the preparation of individual contracts, and to provide space for the listing of rates and premiums for coverages insured thereunder or under endorsements attached or pr…

There shall be printed on the first or front page at the head of the standard fire insurance policy the name of the insurer or insurers issuing the policy, the location of the home office or United States office of the insurer or insurers, a statement whether the insurer or insur…

A domestic insurer may print in the standard fire policy any provisions which it is authorized or required by law to insert therein. A foreign or alien insurer may print in the policy any provision required by its charter or deed of settlement, or by the laws of its own state or …

A. Appropriate forms of additional contracts, riders or endorsements, insuring against indirect or consequential loss or damage, or against any one or more perils other than those of fire and lightning, or providing coverage which the insurer issuing the policy is authorized by c…

A. There may be printed upon the standard fire policy the words, "standard fire insurance policy for Arizona", and there may be inserted before and after the word "Arizona" a designation of any state or states in which such form of policy is standard. B. There may be endorsed on …

Insurers issuing the standard policy pursuant to section 20-1503, are authorized to affix thereto a written statement that the policy does not cover loss or damage caused by nuclear reaction, nuclear radiation or radio-active contamination, all whether directly or indirectly resu…

A. The breed of a dog may not be the sole factor considered or used for any of the following purposes: 1. Underwriting or actuarial processes for determining risk, liability or actual or potential losses related to claims involving dogs under a policy of insurance. 2. Questionnai…

When any bond, recognizance or undertaking is required or permitted to be made for the security or protection of any person or municipality, the state, or any department thereof, or organization, conditioned for the doing or not doing of anything therein specified, any such board…

Any surety insurer may be sued in respect of any surety bond issued by it in the county where the bond, recognizance, stipulation or undertaking was made or guaranteed, or in the county where the principal office of the insurer in this state is located, and for the purposes hereo…

A. A domestic or foreign surety company that has qualified to transact surety business in this state may become surety in an amount of not more than three hundred dollars with respect to a guaranteed arrest bond certificate issued by a motor club by filing with the director an un…

A. A guaranteed arrest bond certificate that conforms to section 20-1533 shall: 1. Be accepted as a bail bond in lieu of cash bail or any other bond if posted by the person whose signature appears on the certificate. 2. Be accepted to guarantee the appearance of the person whose …

In this article, unless the context otherwise requires: 1. "Authorized real estate security" means either: (a) Any amortized note, bond or other evidence of indebtedness that is secured by both a mortgage, deed of trust or other instrument that constitutes or is equivalent to a f…

A. A mortgage guaranty insurance company shall not transact the business of mortgage guaranty insurance unless: 1. If a stock insurance company, it has paid in capital of at least one million dollars and paid in surplus of at least one million dollars. 2. If a mutual insurance co…

A. A mortgage guaranty insurance company shall not: 1. Insure loans secured by a single risk in excess of ten per cent of the company's aggregate capital, surplus and contingency reserve. 2. Have more than twenty per cent of its total insurance in force in any one standard metrop…

A mortgage guaranty insurance company or any agent or representative of a mortgage guaranty insurance company shall not prepare or distribute or assist in preparing or distributing any brochure, pamphlet, report or any form of advertising to the effect that the real estate invest…

A mortgage guaranty insurance company shall not invest in notes or other evidences of indebtedness secured by mortgage or other lien upon real property. This section shall not apply to obligations secured by real property, or contracts for the sale of real property, which are acq…

A. A mortgage guaranty insurance company that anywhere transacts any class of insurance other than mortgage guaranty insurance is not eligible for the issuance or renewal of a certificate of authority to transact mortgage guaranty insurance in this state. B. A mortgage guaranty i…

A. Nothing in this article shall be construed as limiting the right of any mortgage guaranty insurance company to impose reasonable requirements upon the lender with regard to the terms of any note or bond or other evidence of indebtedness secured by a mortgage or deed of trust, …

A. A mortgage guaranty insurer shall file all policy forms, endorsements and rates a mortgage guaranty insurer proposes to use with the director pursuant to chapter 2, article 4.1. With respect to owner-occupied, single-family dwellings, the mortgage guaranty insurance policy sha…

A. A mortgage guaranty insurer shall maintain at all times a minimum policyholder position in an amount not less than the amount required by this section. The face amount of an insured mortgage shall include reinsurance assumed and shall be calculated net of reinsurance that is c…

A. A mortgage guaranty insurance company shall not pay or cause to be paid either directly or indirectly, to any owner, purchaser, lessor, lessee, mortgagee or prospective mortgagee of the real property which secures the authorized real estate security or which is the fee of an i…

A. Except for commercial checking accounts and normal deposits in support of an active bank line of credit, a mortgage guaranty insurance company, its holding company or any affiliate of either such companies shall not maintain funds on deposit with the lender for which the mortg…

A. If it is a member of a holding company system, a mortgage guaranty insurance company licensed to transact business in this state shall not, as a condition of its certificate of authority, knowingly underwrite mortgage guaranty insurance on mortgages originated by the holding c…

A mortgage guaranty insurance company shall compute and maintain an unearned premium reserve that is according to the method approved by the director and that is consistent with the accounting practices and procedures manual adopted by the national association of insurance commis…

A mortgage guaranty insurance company shall compute and maintain adequate case basis and other loss reserves which accurately reflect loss frequency and loss severity and shall include components for claims reported and unpaid, and for claims incurred but not reported, including …

A. In addition to the paid in capital and surplus provided in section 20-1542 each mortgage guaranty insurer shall establish a contingency reserve after establishing the unearned premium reserve. The mortgage guaranty insurer shall annually contribute to the contingency reserve a…

If the mortgage guaranty insurance company's anticipated losses, loss adjustment expenses, commissions and other acquisition costs and maintenance costs are more than the recorded unearned premium reserve, contingency reserve and estimated future renewal premiums on existing poli…

A. If a mortgage guaranty insurance company obtains reinsurance from an insurance company that is properly licensed to provide such reinsurance or from an appropriate governmental agency, the mortgage guaranty insurer and the reinsurer shall establish and maintain the reserves re…

A. If the laws of any other jurisdiction in which a mortgage guaranty insurance company, subject to the requirement of this article is also licensed to transact mortgage guaranty insurance, require a larger unearned premium reserve or contingency reserve in the aggregate than tha…

A. Notwithstanding section 20-722, a domestic mortgage guaranty insurance company may pay dividends out of any available surplus monies if the mortgage guaranty insurance company continues to comply with the policyholder surplus and reserve requirements under this article. B. The…

A. The director may use independent contractor examiners pursuant to sections 20-148 and 20-159 to conduct examinations to review compliance with this article. All examination and examination related expenses shall be borne by the mortgage guaranty insurer and shall be paid by th…

A. This article applies to all title insurers, title insurance rating organizations, title insurance agents, applicants for title insurance and policyholders and to all persons and business entities engaged in the business of title insurance. B. To the extent not modified by this…

In this article, unless the context otherwise requires: 1. "Abstract of title" means a written representation that is provided pursuant to a written or oral contract that is intended to be relied on by the person who has contracted for the receipt of the representation. The abstr…

A. Any foreign or domestic stock insurer authorized by its corporate charter to engage in business as a title insurer shall be entitled to the issuance of a certificate of authority as a title insurer in this state upon meeting the applicable requirements of article 1 of chapter …

A. A domestic title insurer shall invest and maintain invested funds to the amount of minimum paid-in capital required under this title only in cash and the securities described in subsection B, paragraph 1 of this section and sections 20-537, 20-538 and 20-551. B. A domestic tit…

A. A title insurer may provide any other services reasonably related to the land title business and may engage in any other business which is not inconsistent with the business of issuing title insurance policies and which may be authorized by its corporate charter, but only if s…

A. In lieu of the premium tax provisions of section 20-224, title insurers shall be subject to taxation on income as other private corporations. B. The income tax required to be paid by title insurers by the provisions of subsection A of this section shall be payment in full of a…

A. No policy or contract of title insurance shall be written on any risk located in this state except by a title insurer authorized to do business in this state, nor unless and until the title insurer has caused to be conducted a reasonable examination of the title and has caused…

A. Every title insurer shall, in addition to other reserves, establish and maintain a reserve to be known as the "unearned premium reserve" for title insurance on real estate, which shall, at all times and for all purposes, be deemed and shall constitute the unearned portions of …

A. The unearned premium reserve of every title insurer shall consist of: 1. The amount of the unearned premium reserve held as of January 1, 1968. 2. The amount of all additions required to be made to the reserve by this section, less withdrawals permitted by this section. B. Eve…

If by reason of any cause, other than depreciation in the market value of investments, the amount of the assets of a title insurer held as investments of its unearned premium reserve should on any date be less than the amount required to be maintained by law in such reserve, and …

A. If an order of rehabilitation or of liquidation shall have been entered with respect to a title insurer in accordance with the provisions of article 4 of chapter 3 of this title, then, and notwithstanding the provisions of such article: 1. Such amount of the assets of such tit…

A. Each title insurer shall at all times establish and maintain, in addition to other reserves, a reserve against unpaid losses, and against loss expense, and shall calculate the reserves by making a careful estimate in each case of the loss and loss expense likely to be incurred…

A. The net retained liability of any title insurer under any single insurance risk as defined in section 20-1562, paragraphs 4 and 7 shall not exceed fifty per cent of the net amount remaining after deducting from the sum of its capital, surplus, unearned premium reserve and volu…