According to RESPA statement policy 1996-4, if a title insurer provides proforma commitment services to a title insurance agent, what is true regarding the agent's role?

Prepare for the Florida Title Insurance Exam. Use flashcards and multiple choice questions with hints and explanations. Get ready to pass your exam!

In the context of RESPA statement policy 1996-4, when a title insurer provides proforma commitment services to a title insurance agent, it indicates that the agent did not actually perform core title services. The proforma commitment is merely a preliminary step and does not entail the full responsibilities typically associated with core title services, such as conducting a thorough title examination or searching public records.

This context helps clarify why the agent's role is limited in this scenario. The agent may work with the information provided but does not engage in the level of analysis and verification that full title service entails. Therefore, the assertion that the agent did not perform core title services aligns with the operational boundaries set forth by the policy, highlighting the distinction between what the insurer provides and what the agent is required to execute in terms of title services.

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