Title insurance in Florida is based on a promulgated rate calculation, set by the State of Florida. This means that in Florida, state law sets the minimum rate that title companies must charge. While this means that they are allowed to charge more, in practice most title companies just stick to the promulgated rate due to competition and widespread knowledge of what those rates are.
Lenders will require a separate title insurance policy to also protect their interest in the property, up to their loan amount. Fortunately, this additional layer of coverage is not very expensive in Florida. If the buyer is financing, he or she can get a simultaneous policy to cover their lender’s interest for only a flat fee of $25 additionally.
Because title insurance policies typically don’t insure against defects found via the survey, many lenders will require borrowers to get an additional layer of protection to safeguard against loss or damage from violations of deed restrictions, encroachments, and building setback requirements. The cost of this endorsement is 10% of the cost of the title insurance premium.