{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/38.2-4610.1.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/38.2-4610.1.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/38.2-4610.1.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/38.2-4610.1.html"}],"law_id":80196,"edition_id":1,"section_id":80196,"structure_id":13850,"section_number":"38.2-4610.1","catch_line":"Unearned premium reserve","history":"1986, c. 404, \u00a7 38.1-730.1; 2008, c. 248.","full_text":"A\n\nA domestic title insurance company shall establish and maintain an unearned premium reserve computed in accordance with this section, and all sums attributed to such reserve shall at all times and for all purposes be considered and constitute unearned portions of the original premiums. This reserve shall be reported as a liability of the title insurance company in its financial statements.B\n\nThe unearned premium reserve shall be maintained by the title insurance company for the protection of holders of title insurance policies. Except as provided in this section, assets equal in value to the unearned premium reserve are not subject to distribution among creditors or stockholders of the title insurance company until all claims of policyholders or claims under reinsurance contracts have been paid in full, and all liability on the policies or reinsurance contracts has been paid in full and discharged or lawfully reinsured.C\n\nExcept as provided in § 38.2-4610.1:1, foreign or alien title insurance company licensed to transact title insurance business in the Commonwealth shall maintain at least the same unearned premium reserves on title insurance policies issued on properties located in the Commonwealth as are required of domestic title insurance companies, unless the laws of the jurisdiction of domicile of the foreign or alien title insurance company require a higher amount.D\n\nThe unearned premium reserve shall consist of:1\n\nThe amount of the unearned premium reserve on June 30, 1986; and2\n\nA sum equal to $1.50 for each policy, contract or agreement of title insurance covering a single risk written after June 30, 1986, plus a sum equal to 12 1\/2 cents of each $1,000 of net retained liability under each such policy, contract or agreement of title insurance on a single risk written after June 30, 1986.E\n\nAmounts placed in the unearned premium reserve in any year in accordance with subdivision 2 of subsection D of this section shall be deducted in determining the net profit of the title insurance company for that year.F\n\nA title insurance company shall release from the unearned premium reserve a sum equal to ten percent of the amount added to the reserve during a calendar year on July 1 of each of the five years following the year in which the sum was added, and shall release from the unearned premium reserve a sum equal to 3 1\/3 percent of the amount added to the reserve during that year on each succeeding July 1 until the entire amount for that year has been released. The amount of the unearned premium reserve maintained before July 1, 1986, shall be released in accordance with the law in effect when the respective sums were reserved.","order_by":null,"text":{"0":{"id":287065,"text":"A domestic title insurance company shall establish and maintain an unearned premium reserve computed in accordance with this section, and all sums attributed to such reserve shall at all times and for all purposes be considered and constitute unearned portions of the original premiums. This reserve shall be reported as a liability of the title insurance company in its financial statements.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":287066,"text":"The unearned premium reserve shall be maintained by the title insurance company for the protection of holders of title insurance policies. Except as provided in this section, assets equal in value to the unearned premium reserve are not subject to distribution among creditors or stockholders of the title insurance company until all claims of policyholders or claims under reinsurance contracts have been paid in full, and all liability on the policies or reinsurance contracts has been paid in full and discharged or lawfully reinsured.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":287067,"text":"Except as provided in § 38.2-4610.1:1, foreign or alien title insurance company licensed to transact title insurance business in the Commonwealth shall maintain at least the same unearned premium reserves on title insurance policies issued on properties located in the Commonwealth as are required of domestic title insurance companies, unless the laws of the jurisdiction of domicile of the foreign or alien title insurance company require a higher amount.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B","next_prefix":"D"},"3":{"id":287068,"text":"The unearned premium reserve shall consist of:","type":"section","prefixes":["D"],"prefix":"D","entire_prefix":"D","prefix_anchor":"D","level":1,"prior_prefix":"C","next_prefix":"D1"},"4":{"id":287069,"text":"The amount of the unearned premium reserve on June 30, 1986; and","type":"section","prefixes":["D","1"],"prefix":"1","entire_prefix":"D1","prefix_anchor":"D1","level":2,"prior_prefix":"D","next_prefix":"D2"},"5":{"id":287070,"text":"A sum equal to $1.50 for each policy, contract or agreement of title insurance covering a single risk written after June 30, 1986, plus a sum equal to 12 1\/2 cents of each $1,000 of net retained liability under each such policy, contract or agreement of title insurance on a single risk written after June 30, 1986.","type":"section","prefixes":["D","2"],"prefix":"2","entire_prefix":"D2","prefix_anchor":"D2","level":2,"prior_prefix":"D1","next_prefix":"E"},"6":{"id":287071,"text":"Amounts placed in the unearned premium reserve in any year in accordance with subdivision 2 of subsection D of this section shall be deducted in determining the net profit of the title insurance company for that year.","type":"section","prefixes":["E"],"prefix":"E","entire_prefix":"E","prefix_anchor":"E","level":1,"prior_prefix":"D2","next_prefix":"F"},"7":{"id":287072,"text":"A title insurance company shall release from the unearned premium reserve a sum equal to ten percent of the amount added to the reserve during a calendar year on July 1 of each of the five years following the year in which the sum was added, and shall release from the unearned premium reserve a sum equal to 3 1\/3 percent of the amount added to the reserve during that year on each succeeding July 1 until the entire amount for that year has been released. The amount of the unearned premium reserve maintained before July 1, 1986, shall be released in accordance with the law in effect when the respective sums were reserved.","type":"section","prefixes":["F"],"prefix":"F","entire_prefix":"F","prefix_anchor":"F","level":1,"prior_prefix":"E"}},"ancestry":[{"id":13850,"edition_id":1,"name":"Title Insurance","identifier":"46","label":"chapter","depth":2,"order_by":1,"parent_id":12698,"metadata":{},"date_created":"2026-06-26 03:46:04","date_modified":"2026-06-26 03:46:04","permalink":{"id":217153,"object_type":"structure","relational_id":13850,"identifier":"46","token":"38.2\/46","url":"\/38.2\/46\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12698,"edition_id":1,"name":"Insurance","identifier":"38.2","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":210661,"object_type":"structure","relational_id":12698,"identifier":"38.2","token":"38.2","url":"\/38.2\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":60163,"structure_id":13850,"section_number":"38.2-4600","catch_line":"Class of insurance and insurance companies to which chapter applies","url":"\/38.2-4600\/","token":"38.2\/46\/38.2-4600","metadata":false},{"id":61532,"structure_id":13850,"section_number":"38.2-4601","catch_line":"Title insurance company defined","url":"\/38.2-4601\/","token":"38.2\/46\/38.2-4601","metadata":false},{"id":65120,"structure_id":13850,"section_number":"38.2-4601.1","catch_line":"Title insurance agency or agent defined","url":"\/38.2-4601.1\/","token":"38.2\/46\/38.2-4601.1","metadata":false},{"id":73355,"structure_id":13850,"section_number":"38.2-4602","catch_line":"What laws applicable","url":"\/38.2-4602\/","token":"38.2\/46\/38.2-4602","metadata":false},{"id":55288,"structure_id":13850,"section_number":"38.2-4603","catch_line":"What companies may transact title insurance","url":"\/38.2-4603\/","token":"38.2\/46\/38.2-4603","metadata":false},{"id":67063,"structure_id":13850,"section_number":"38.2-4604","catch_line":"Investment in plant and equipment","url":"\/38.2-4604\/","token":"38.2\/46\/38.2-4604","metadata":false},{"id":54872,"structure_id":13850,"section_number":"38.2-4605","catch_line":"Interim binders","url":"\/38.2-4605\/","token":"38.2\/46\/38.2-4605","metadata":false},{"id":79727,"structure_id":13850,"section_number":"38.2-4606","catch_line":"Forms to be filed with Commission","url":"\/38.2-4606\/","token":"38.2\/46\/38.2-4606","metadata":false},{"id":60596,"structure_id":13850,"section_number":"38.2-4607","catch_line":"Maximum risk","url":"\/38.2-4607\/","token":"38.2\/46\/38.2-4607","metadata":false},{"id":74319,"structure_id":13850,"section_number":"38.2-4608","catch_line":"Title insurance rates","url":"\/38.2-4608\/","token":"38.2\/46\/38.2-4608","metadata":false},{"id":79630,"structure_id":13850,"section_number":"38.2-4609","catch_line":"Loss or claim reserves","url":"\/38.2-4609\/","token":"38.2\/46\/38.2-4609","metadata":false},{"id":60467,"structure_id":13850,"section_number":"38.2-4610","catch_line":"Repealed","url":"\/38.2-4610\/","token":"38.2\/46\/38.2-4610","metadata":false},{"id":80196,"structure_id":13850,"section_number":"38.2-4610.1","catch_line":"Unearned premium reserve","url":"\/38.2-4610.1\/","token":"38.2\/46\/38.2-4610.1","metadata":false},{"id":59674,"structure_id":13850,"section_number":"38.2-4610.1:1","catch_line":"Unearned premium reserves of foreign title insurance companies","url":"\/38.2-4610.1_1\/","token":"38.2\/46\/38.2-4610.1_1","metadata":false},{"id":60470,"structure_id":13850,"section_number":"38.2-4610.2","catch_line":"Loss reserves","url":"\/38.2-4610.2\/","token":"38.2\/46\/38.2-4610.2","metadata":false},{"id":56376,"structure_id":13850,"section_number":"38.2-4611","catch_line":"Repealed","url":"\/38.2-4611\/","token":"38.2\/46\/38.2-4611","metadata":false},{"id":77761,"structure_id":13850,"section_number":"38.2-4613","catch_line":"Unearned premium reserve to be held and administered for benefit of policyholders","url":"\/38.2-4613\/","token":"38.2\/46\/38.2-4613","metadata":false},{"id":78129,"structure_id":13850,"section_number":"38.2-4614","catch_line":"Prohibition against payment or receipt of title insurance kickbacks, rebates, commissions and other payments; penalty","url":"\/38.2-4614\/","token":"38.2\/46\/38.2-4614","metadata":false},{"id":85851,"structure_id":13850,"section_number":"38.2-4615","catch_line":"Exchange of information","url":"\/38.2-4615\/","token":"38.2\/46\/38.2-4615","metadata":false},{"id":57124,"structure_id":13850,"section_number":"38.2-4616","catch_line":"Notification to buyers of the availability of owner's title insurance","url":"\/38.2-4616\/","token":"38.2\/46\/38.2-4616","metadata":false}],"previous_section":{"id":60467,"structure_id":13850,"section_number":"38.2-4610","catch_line":"Repealed","url":"\/38.2-4610\/","token":"38.2\/46\/38.2-4610","metadata":false},"next_section":{"id":59674,"structure_id":13850,"section_number":"38.2-4610.1:1","catch_line":"Unearned premium reserves of foreign title insurance companies","url":"\/38.2-4610.1_1\/","token":"38.2\/46\/38.2-4610.1_1","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-4610.1\/","history_text":"

This law was first created in 1986. The record of its establishment is cataloged in chapter 404 of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1986 \u201cActs\u201d aren\u2019t available online. It has been modified 1 time. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. That modification is as follows: in 2008, chapter 248<\/a>.<\/p>","references":[{"id":57332,"section_number":"38.2-1312","catch_line":"Unearned premium reserves","order_by":null,"url":"\/38.2-1312\/"},{"id":80624,"section_number":"38.2-1316.1","catch_line":"Definitions","order_by":null,"url":"\/38.2-1316.1\/"},{"id":60470,"section_number":"38.2-4610.2","catch_line":"Loss reserves","order_by":null,"url":"\/38.2-4610.2\/"},{"id":77761,"section_number":"38.2-4613","catch_line":"Unearned premium reserve to be held and administered for benefit of policyholders","order_by":null,"url":"\/38.2-4613\/"}],"refers_to":[{"id":59674,"section_number":"38.2-4610.1:1","catch_line":"Unearned premium reserves of foreign title insurance companies","order_by":null,"url":"\/38.2-4610.1_1\/"}],"permalink":{"id":217203,"object_type":"law","relational_id":80196,"identifier":"38.2-4610.1","token":"38.2\/46\/38.2-4610.1","url":"\/38.2-4610.1\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/38.2-4610.1\/","token":"38.2\/46\/38.2-4610.1","dublin_core":{"Title":"Unearned premium reserve","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-4610.1","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> A domestic title insurance company<\/span> shall establish and maintain an unearned premium reserve computed in accordance with this section, and all sums attributed to such reserve shall at all times and for all purposes be considered and constitute unearned portions of the original premiums. This reserve shall be reported as a liability of the title insurance company<\/span> in its financial statements. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> The unearned premium reserve shall be maintained by the title insurance company<\/span> for the protection of holders of title insurance policies<\/span>. Except as provided in this section, assets<\/span> equal in value to the unearned premium reserve are not subject to distribution among creditors<\/span> or stockholders of the title insurance company<\/span> until all claims of policyholders or claims under reinsurance contracts<\/span> have been paid in full, and all liability on the policies or reinsurance contracts<\/span> has been paid in full and discharged or lawfully reinsured. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> Except as provided in § 38.2-4610.1:1<\/a>, foreign or alien title insurance company<\/span> licensed to transact title insurance business in the Commonwealth shall maintain at least the same unearned premium reserves on title insurance policies<\/span> issued on properties located in the Commonwealth as are required of domestic title insurance companies, unless the laws<\/span> of the jurisdiction<\/span> of domicile of the foreign or alien title insurance company<\/span> require a higher amount. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

D.<\/span> The unearned premium reserve shall consist of: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> The amount of the unearned premium reserve on June 30, 1986; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> A sum equal to $1.50 for each policy, contract<\/span> or agreement of title insurance covering a single risk written after June 30, 1986, plus a sum equal to 12 1\/2 cents of each $1,000 of net retained liability under each such policy, contract<\/span> or agreement of title insurance on a single risk written after June 30, 1986. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

E.<\/span> Amounts placed in the unearned premium reserve in any year in accordance with subdivision 2 of subsection D of this section shall be deducted in determining the net profit of the title insurance company<\/span> for that year. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

F.<\/span> A title insurance company<\/span> shall release from the unearned premium reserve a sum equal to ten percent of the amount added to the reserve during a calendar year on July 1 of each of the five years following the year in which the sum was added, and shall release from the unearned premium reserve a sum equal to 3 1\/3 percent of the amount added to the reserve during that year on each succeeding July 1 until the entire amount for that year has been released. The amount of the unearned premium reserve maintained before July 1, 1986, shall be released in accordance with the law<\/span> in effect when the respective sums were reserved. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nUNEARNED PREMIUM RESERVE (\u00a7 38.2-4610.1)\n\nA. A domestic title insurance company shall establish and maintain an unearned\npremium reserve computed in accordance with this section, and all sums\nattributed to such reserve shall at all times and for all purposes be considered\nand constitute unearned portions of the original premiums. This reserve shall be\nreported as a liability of the title insurance company in its financial\nstatements.\n\nB. The unearned premium reserve shall be maintained by the title insurance\ncompany for the protection of holders of title insurance policies. Except as\nprovided in this section, assets equal in value to the unearned premium reserve\nare not subject to distribution among creditors or stockholders of the title\ninsurance company until all claims of policyholders or claims under reinsurance\ncontracts have been paid in full, and all liability on the policies or\nreinsurance contracts has been paid in full and discharged or lawfully\nreinsured.\n\nC. Except as provided in § 38.2-4610.1:1, foreign or alien title insurance\ncompany licensed to transact title insurance business in the Commonwealth shall\nmaintain at least the same unearned premium reserves on title insurance policies\nissued on properties located in the Commonwealth as are required of domestic\ntitle insurance companies, unless the laws of the jurisdiction of domicile of\nthe foreign or alien title insurance company require a higher amount.\n\nD. The unearned premium reserve shall consist of:\n\n 1. The amount of the unearned premium reserve on June 30, 1986; and\n\n 2. A sum equal to $1.50 for each policy, contract or agreement of title\n insurance covering a single risk written after June 30, 1986, plus a sum equal\n to 12 1\/2 cents of each $1,000 of net retained liability under each such\n policy, contract or agreement of title insurance on a single risk written\n after June 30, 1986.\n\nE. Amounts placed in the unearned premium reserve in any year in accordance with\nsubdivision 2 of subsection D of this section shall be deducted in determining\nthe net profit of the title insurance company for that year.\n\nF. A title insurance company shall release from the unearned premium reserve a\nsum equal to ten percent of the amount added to the reserve during a calendar\nyear on July 1 of each of the five years following the year in which the sum was\nadded, and shall release from the unearned premium reserve a sum equal to 3 1\/3\npercent of the amount added to the reserve during that year on each succeeding\nJuly 1 until the entire amount for that year has been released. The amount of\nthe unearned premium reserve maintained before July 1, 1986, shall be released\nin accordance with the law in effect when the respective sums were reserved.\n\nHISTORY: 1986, c. 404, \u00a7 38.1-730.1; 2008, c. 248.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}