Insured Closing Letters in Missouri

In Missouri an Insured Closing Letter (ICL) is distinct from a Closing Protection Letter (CPL). An Insured Closing Letter is more in the nature of a blanket agreement between a Title Insurance Company and Lender regarding the conduct of an agent both in terms of handling funds and following closing instructions. In many states it would be called a "Blanket CPL". Closing Protection Letters, on the other hand, are transaction specific and can be extended to other parties besides the lender including buyers and sellers.

Insured closing letters in Missouri are governed by statute. See MO Rev Stat § 381.400 et seq. They are not regulated in any way so long as no fee is charged for them. Section 20 CSR 500-7.130(4). If any charge is made for them, they must be filed and approved in the same manner as Closing Protection Letters. Id.