381.085.  Forms, director to approve before use — contents concerning coverage of policy, when included — disapproval by director, procedure. — 1.  As used in sections 381.011 to 381.412, the terms "search", "search of the public records", or "search of title", mean a search of those records established by the laws of this state for the purpose of imparting constructive notice of matters relating to real property to purchasers for value and without knowledge.

  2.  A title insurer shall not deliver or issue for delivery or permit any of its authorized title agencies or title agents to deliver in this state any standard form providing coverage, in connection with title insurance written, unless the standard form has been filed with the director thirty days prior to use.

  3.  Forms covered by this section shall include:

  (1)  Title insurance policies, including standard form endorsements;

  (2)  Title insurance commitments issued prior to the issuance of a title insurance policy; and

  (3)  Closing or settlement protection letters.

  4.  Any term or condition related to an insurance coverage provided by a title insurance policy or any exception to the coverage, except exceptions ascertained from, or affirmative coverages offered as a result of, a search and examination of records relating to a title or inspection or survey of a property to be insured, may only be included in the policy after the term, condition or exception has been filed with the director as herein provided.

  5.  The director shall review such form, term, condition, or exception within thirty days.  If within this time the director believes the form, term, condition, or exception is not in compliance with the insurance laws of this state or does not contain such words, phraseology, conditions, and provisions which are specific, certain, and unambiguous and reasonably adequate to meet the needed requirements of those insured under such policies, the director may schedule a hearing to be held within sixty days and at such hearing receive evidence and suggestions of law on the matter.

  6.  If the director determines after a hearing that a form, term, condition, or exception shall be disapproved, the director shall issue an order disapproving the form, term, condition, or exception in a record and with findings of fact and conclusions of law in accordance with the provisions of chapter 536.  A final order may not be issued unless the director specifies the provisions of law that have not been complied with or the words, phraseology, conditions, or provisions which are not specific, certain and unambiguous and reasonably adequate to meet the needed requirement of those insured under such policies.  A final order of disapproval is subject to judicial review under the provisions of chapter 536.  During the pending of any proceeding under this section, all such forms may be used, but this provision shall not deprive the director or department of any other enforcement power over such forms that may be otherwise provided by law.

  7.  The failure of the director to seek disapproval does not constitute an approval or endorsement of the form, term, condition, or exception by the director.  It is unlawful to make any representation that the director has approved a form, term, condition, or exception filed under this section.