625.111  Title insurance reserve.--In addition to an adequate reserve as to outstanding losses, as required under s. 625.041, a title insurer shall establish, segregate, and maintain a guaranty fund or unearned premium reserve as hereinafter provided. The sums hereinafter required to be reserved for unearned premiums on title guarantees and policies at all times and for all purposes shall be considered and constitute unearned portions of the original premiums and shall be charged as a reserve liability of such insurer in determining its financial condition. While such sums are so reserved, they shall be withdrawn from the use of the insurer for its general purposes, impressed with a trust in favor of the holders of title guarantees and policies, and held available for reinsurance of the title guarantees and policies in the event of the insolvency of the insurer. Nothing herein contained shall preclude such insurer from investing such reserve in investments authorized by law for such an insurer, and the income from such invested reserve shall be included in the general income of the insurer to be used by such insurer for any lawful purpose.

(1)  This unearned premium reserve shall consist of not less than an amount computed as follows:

(a)  The amount of the unearned premium reserve on June 30, 1992; and

(b)  A sum equal to 30 cents for each $1,000 of net retained liability under each title insurance policy on a single risk written on or after July 1, 1992.

(2)(a)  The adequacy of the unearned premium reserve existing on December 31, 1992, shall be determined in accordance with the unearned premium reserve requirements existing on July 1, 1992, and said unearned premium reserve shall be released in 12 equal annual installments, beginning with calendar year 1993.

(b)  With respect to amounts reserved under this section on or after January 1, 1993, the insurer shall release amounts reserved during a particular calendar year in 12 equal annual installments, beginning in the subsequent calendar year.

(3)  As used in this section:

(a)  "Net retained liability" means the total liability retained by a title insurer for a single risk, after taking into account the deduction for ceded liability, if any.

(b)  "Single risk" means the insured amount of any title insurance policy, except that where two or more title insurance policies are issued simultaneously covering different estates in the same real property, "single risk" means the sum of the insured amounts of all such title insurance policies. Any title insurance policy insuring a mortgage interest a claim payment under which reduces the insured amount of a fee or leasehold title insurance policy shall be excluded in computing the amount of a single risk to the extent that the insured amount of the mortgage title insurance policy does not exceed the insured amount of the fee or leasehold title insurance policy.