Did you know that Virginia's Bureau of Insurance issued an
administrative letter notifying settlement agents that
Virginia's applicable statutes and regulations do not authorize
split settlements?
On February 4, 2022, Virginia's Bureau of Insurance
("Bureau") issued Administrative Letter 2022-01 notifying
settlement agents that the Real Estate Settlements Act, §
55.1-900 et seq. of the Code of Virginia ("Code"), and
Real Estate Settlement Agents Act, § 55.1-1000 et seq. of the
Code, contemplate only one designated settlement agent performing
the required activities and tasks for any particular real estate
transaction. As such, the Bureau views participation in split
settlements by settlement agents as a violation of Virginia
law.
