When David Townsend started Farmer’s Title Insurance in Columbia eight years ago, he wanted to operate his company a bit differently from the typical title insurance firm. He envisioned a business model that would provide support for title insurance agents rather than compete against them, and he wanted to utilize technology to streamline this paper-heavy industry. He hoped to be successful. He had no idea his little company would grow to become the fourth largest underwriter in Missouri by market share. Today, with a new name, Agents National Title Insurance Co. is not only thriving locally but also spreading rapidly across the nation.

Although most people never encounter title insurance until they want to buy or sell property, it’s an essential part of the transition process. “Property is more like a bundle of rights,” Townsend says. “There are easements for sewers, electricity and cable TV and even restrictions in subdivisions.” For this reason, before a property can be sold, it must be thoroughly researched by title agents or examiners who look for a variety of issues that might hinder the sale. There could be loans on the property or easements such as utility companies, mineral or timber rights. The owner of the property must be clearly identified along with any others who have a potential interest in the property. Are taxes prorated properly and paid, and are there any personal seller issues, such as divorce, bankruptcy, judgments or probate issues that need to be addressed?

“The examiner looks at all of this and sees what needs to be done to sell,” Townsend says. Then, typically, the underwriters ship boxes of paper policy jackets to their agents, who in turn write Schedule A and B or the property specifics such as the owner’s name, amount of insurance and legal description of the property. The agents then send everything back to the underwriter to be tabulated. The underwriters follow up by sending an invoice to the agent. Altogether, this process can take months from the closing to when the underwriter gets paid. In a nutshell, it’s a paper nightmare.

To eliminate some of the paperwork, Townsend worked with Delta Systems, a custom Web applications and software developer. Together they created a patent-pending software that produces electronic jackets. When agents enter property data into the system, they receive not only an electronic jacket but also an invoice, saving paper as well as valuable time. “We reduced the receivable cycle from nine to 12 months to 30 days,” Townsend says.

They also reduced the risk of human error, which makes the process cleaner and less frustrating for the buyer and seller. “Of the thousands of real estate transactions that close a day, there is never a problem. But on that one that there is, it’s somebody’s home you are dealing with. It’s a much more personal issue; it hits home.” 


The business plan


ANTIC’s business plan is also unique. Based on the philosophy that all real estate is local, they do not compete with independent title insurers like so many other title insurance companies. “Our agents sell our product,” Townsend says. “They issue our policy, and they get to keep a portion of the premium on the work they do on our behalf.”

ANTIC operates as more of a support mechanism for the agents underwriting in the field.  For Townsend, this model simply makes more sense because real estate records are kept at the local level, allowing agents to do their own underwriting. “They are producing the actually property-specific policies themselves,” he says, which speeds the process.

This distinctive business model benefits ANTIC as well. With less time crunching numbers on agent billing, the company can put more money toward customer support and service, risk management and agency operational support. Kerri Kempker, co-owner of Macon Co. Title and Escrow Services, says her company started working with ANTIC in 2009 and appreciates how they focus on the smaller title agents. “Each member of ANTIC has a direct connection to a small rural community, and therefore they fight harder for the interest and well-being of the smaller title agents,” she says.

Brent Scheer, ANTIC chief financial officer and chief operating officer since 2006, says he believes the company’s dedication to service is a key element to its success and the reason title agents like to work with there. “We are the foxhole guys,” he says. “The agents call us. We are able to dedicate enough staff in the underwriting side of the business that we can take care of things, even the day before closing.”

ANTIC additionally provides continuing education for its agents, both local and national, often through online webinars. With the passing of Senate Bill 66 in 2008, continuing education for title insurance agents is now required in Missouri. Karen Brown, president of Boone-Central Title Co., says she appreciates the ease in which her agents can complete their continuing education through ANTIC. “It’s nice because you don’t have to go anywhere, you can just sit at your desk,” she says.

Personally, Brown has participated in several webinars, focusing on everything from different aspects of ensuring land titles and insuring easements to required documentations. “You also have the opportunity to ask questions,” she says, which is an added bonus with ANTIC’s online courses.

Supporting the community
Although, any independent title agent can work through ANTIC, Townsend is quick to point out each one is thoroughly vetted beforehand. “Every one of our agents goes through an extensive background check,” he says.

“Having policies and procedures to make sure everyone is doing everything right is essential.” 

ANTIC also goes the extra mile in taking care of its employees, such as offering a relaxed business atmosphere, a sense of community and a few added perks. “Most Fridays, if you come here about noon, you’ll find us grilling out back,” Townsend says. Every quarter they bring in employees from all their offices and do training that includes a little fun, such as going to Perche Creek for the batting cages and go karts, followed by dinner out as a group.

Townsend says the business also encourages and supports its employees to volunteer time and energy outside the office. For instance, Scheer is the treasurer for the Missouri Wrestling Foundation, and Townsend serves as chair of the board of adjustment for the City of Columbia. As a business, ANTIC donates a considerable amount of time to the American Land Title Association and to the state land title associations to provide educational opportunities. Within the community, they speak for free on land title issues and real estate.

Drive to succeed

Townsend says he’s pleased with his company’s success, especially in a market that has roller-coastered wildly during the past several years. Today, with close to 9 percent of the Missouri title insurance market, it continues to grow. Along with the Columbia headquarters, which has 16 employees, the business has offices in Knoxville, Tenn.; Prairie Village, Kan.; and Indianapolis. Licensed in Mississippi, Missouri, Arkansas, Kansas, Indiana, Wyoming, South Dakota and Minnesota, ANTIC has applications pending in Alabama, Tennessee, Ohio, Nebraska, North Dakota and Colorado.

Townsend sees the company’s success as a combination of hiring good people and having a business model that fills an important niche in the industry. “We saw the big four (insurance companies) were not addressing the needs of the title agents, so we started the company, and now we are the fourth biggest in Missouri,” he says.
Scheer agrees. “Our agents like us because we don’t compete with them. They see how easy it is to complete their business.”

For Kempker, the company’s availability and willingness to offer support is a key factor in why they stay with ANTIC. “All of the underwriters are accessible 24/7, and each member of ANTIC is kind and friendly and always willing to help their agents,” she says.

Overall, it’s about old-fashioned values coupled with new technology. “We’re taking the market share because were doing things the way they used to be [done],” Townsend says. “With good customer service and with a better technological platform.”

Agents National Title Insurance Co.
Columbia Headquarters
1207 W. Broadway, Suite C

Columbia, MO 65203

866-483-2763