Maryland has clarified it law as it relates to a title insurance producer and a title insurance producer independent contractor. (TIPIC)

Beginning on July 1, 2010 Maryland will require that a title insurance producer may only use a TIPIC if the TIPIC holds an appointment with a title insurer with which the contract of title may be placed. Beginning July 1, 2010:

The Title Insurance Producer is:

• The legal principal of the TIPIC and;
• Liable for all actions of the TIPIC, including unintentional conduct, that occurs within the scope of the TIPIC's employment.

The TIPIC must be covered under the title insurance producer's blanket fidelity bond and blanket surety bond or letter or credit;

The Recorded Mortgage must include the following information on any paper which will be recorded:

• The name, address and license number of the title insurance producer; and
• The name, address and license number of the TIPIC

A TIPIC, a licensed title insurance producer that acts solely on behalf of another title insurance producer when providing escrow closing or settlement services that may result in the issuance of a title insurance contract and is covered under that title insurance producer's blanket fidelity bond and blanket surety bond or letter of credit, is not required to file a blanket fidelity bond and a blanket surety bond or letter of credit with the Commissioner.