When it comes to title insurance you will find significant cost variables between states, as well as urban and rural areas. As a heavily regulated industry (more regulated in certain states than others), insurance premiums are often set or pre-approved by the regulators. The underwriters will typically file their rates to be used in a given state. Those rates will be subject to scrutiny by the state insurance regulator.
In some states you can deviate from filed rates. So if it's a sizable dollar transaction you might not have to pay the full filed rate and could therefore be able to deviate in the filed rate. In other instances, the state may mandate that you simply stick to the filed rates.
Costs Vary Among States
To make matters more confusing, filed rates are not uniform among states. A million dollar title insurance policy might cost $2000 in a single state, which same exact policy in a different state could cost $8000. So it is important to consider when you're accustomed to paying certain costs in a single state (premiums, closing costs, deed taxes, etc.), you should not assume it's likely to be the same in another state. In fact, the variance could be significant across states, with Florida being one from the more expensive states in the country for title insurance premiums. These premiums are set and mandated by the state, not the title insurance company.
City vs. Rural Costs
Costs can also differ according to whether the property is situated in an urban or rural area. In rural areas where we can't search the online records, we may have to get a full abstract which can significantly increase the search costs. Understanding the local areas we're dealing in is very helpful to keeping costs low for the client.