What is the minimum risk rate premium that can be charged for an owner's policy?

The minimum risk rate premium that can be charged for an owner's policy is set at $100. This rate is established by the Florida Office of Insurance Regulation to ensure that there is a standardized baseline for premiums associated with title insurance policies. The purpose of this minimum rate is to help maintain the financial stability of title insurance companies, enabling them to adequately cover risks that arise during property transactions.

Understanding the context of such regulations is crucial for anyone studying Florida title insurance. Title insurance plays an essential role in protecting the interests of property owners by providing coverage against losses due to defects in the title. Therefore, setting a minimum premium assures that insurers can appropriately fund the necessary underwriting processes and claims that might arise from any title issues.

Each of the other options represents amounts lower than the established minimum rate, which would not be permissible under current regulations. The set minimum helps ensure that policyholders receive adequate protection while also allowing insurers to operate successfully within the regulatory framework.