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Did you know that the Maryland Insurance Administration recently confirmed free warranties are violations of Maryland’s anti-rebating laws?

June 18, 2018

The Maryland Insurance Administration (MIA) recently reaffirmed that it is a violation of Maryland’s anti-rebating laws for title producers to give away free home warranties or free home inspections to consumers, even if those giveaways are offered to all consumers and are not contingent on the purchase of title insurance.

The MIA hosted a June 7, 2018, webinar as a follow up to Bulletin 17-16, issued on December 18, 2017. In that bulletin, the MIA expressly stated that:

“Offering rebates or discounts in the form of free home warranties or home inspections as thank you gifts to consumers who purchase a title insurance policy from an insurance producer is prohibited by Maryland insurance law.  Likewise, offering all consumers seeking title insurance free home warranties or inspections regardless of whether a title insurance purchase is ultimately made is also prohibited by Maryland insurance law.”

Despite this guidance from the MIA, many in the title industry continue to offer free home warranties or free home inspections to consumers.

During the June webinar, the MIA again emphasized that this practice is prohibited under Maryland law.  A title producer caught violating Maryland’s anti-rebating laws is subject to various penalties including denial, suspension or revocation of license, civil penalty, and restitution to any consumer who has suffered financial injury as a result of the prohibited activity.

For more information, please review our January 5, 2018, update or visit the MIA’s website to access the webinar slides.


Matthew D. Alegi
Danielle M. Dolch
David M. Kochanski
Marc D. Lipman


For more information regarding our Residential Real Estate Settlements Group or our general real estate transactions and litigation practice, please contact the Group Chair at 301-230-6574 or

This publication/newsletter is for informational purposes and does not contain or convey legal advice. The information herein should not be used or relied upon in regard to any particular facts or circumstances without first consulting a lawyer.