The Importance of Best Practices and Security in the Title Insurance (1)

IMPORTANCE OF
THE
PRACTICES AND
BEST
IN THE TITLE
SECURITY
INSURANCE
With cyber fraud at a record high, most industries are getting more strict with
security requirements. This includes the land title industry. And with good
reason – according the FBI, almost $1 billion was “diverted or attempted to be
diverted” from real estate purchase transactions in 2017 alone. That number
jumped from just $19 million in 2016.

DISCLOSURE
Please note that we are not law enforcement nor attorneys. As such
the following is for entertainment and educational purposes only and
not legal advice. Please refer to your underwriters, security partners,
insurance providers, and the FBI guidelines on how to properly
determine and handle wire fraud emails.
GREEN FLAGS – THAT MIGHT MAKE THIS EMAIL SEEM
LEGITIMATE
Subject: New Title Order
“Attached is the new title request with contract.”
“CD”
“E & O Policy”
“chain of title”
“CPL” (Closing Protection Letter)
“Wiring instructions”
“Prelim CD”
Mentioning of “page 3” and “tax pro-rations, Realtor Commissions,
and HOA Dues”
“Florida” (which is where I live)
Legitimate, Generic Law Firm
“Contract is enclosed via encrypted secure OUTLOOK365 PDF
format.”
Area Code matches Address
“Realtor” is capitalized
HOW TO RECOGNIZE A FRAUDULENT EMAIL
The bottom line is to have one consistent way throughout your
organization to give wiring instructions and make sure all parties
involved are aware of this. It is also important to warn them about
the fraudulent emails that have been circulating.
Sources:
https://artesiantitle.com/
https://www.linkedin.com/