X12 transaction guide · Finance

EDI 265 Real Estate Title Insurance Services Order

The X12 document used to order real estate title insurance and related services.

Sent by
Mortgage lender or closing agent
Received by
Title insurance company or agent
Standard
ANSI ASC X12

What is an EDI 265?

The EDI 265 Real Estate Title Insurance Services Order is the ANSI X12 transaction set that establishes the format for ordering real estate title insurance services.

Lenders order title searches, commitments and policies for each mortgage. The order identifies the property, the parties, the loan and the services required. The title company returns its findings, for example as a 197 title evidence transaction, before closing. Orders can request searches, commitments, policies and related closing services, and may be changed or cancelled as the loan progresses.

How the EDI 265 worksDiagram of the EDI 265 Real Estate Title Insurance Services Order. Mortgage lender or closing agent sends it to title insurance company or agent. It usually starts the exchange. It is usually followed by 197 and 997. Inside the ISA, GS and ST envelopes, X12 release 008010 requires, in the heading: BGN (Beginning Segment) and the required N1 loop with N1 (Party Identification) and detail: the required LX loop with LX (Transaction Set Line Number), REF (Reference Information) and PDS (Property Description/Legal Description). 6 optional loops are listed by their first segment.How the EDI 265 worksReal Estate Title Insurance Services Order: who sends it, where it fits and what the standard marks required1 WHERE IT FITSUSUALLY FOLLOWSStarts the exchangeEDI 265SENDERMortgage lender orclosing agentRECEIVERTitle insurancecompany or agent997 or 999 acknowledgment back, if the partners agreeUSUALLY FOLLOWED BY197Real Estate Title Evidence997FunctionalAcknowledgment2 WHAT X12 RELEASE 008010 REQUIRESInterchange: sender and receiver IDsISA … IEAFunctional group, ID code TOGS … GETransaction set 265ST … SEHEADINGBGNBeginning SegmentRequired loop N1 · repeats up to 5N1Party IdentificationDETAILRequired loop LX · repeats many timesLXTransaction Set Line NumberREFReference InformationPDSProperty Description/Legal Description+ 6 optional loops, starting with:IN1MCDN1TISPWKBlue box: required loop. Optional loops are listed by the segment that starts them; when a loop is used, that first segment is required. Optional segmentsoutside loops are not drawn.Structure: required segments and loops in the X12 008010 listing for the 265. Your trading partner's implementation guide adds its own requirements.
How the EDI 265 worksDiagram of the EDI 265 Real Estate Title Insurance Services Order. Mortgage lender or closing agent sends it to title insurance company or agent. It usually starts the exchange. It is usually followed by 197 and 997. Inside the ISA, GS and ST envelopes, X12 release 008010 requires, in the heading: BGN (Beginning Segment) and the required N1 loop with N1 (Party Identification) and detail: the required LX loop with LX (Transaction Set Line Number), REF (Reference Information) and PDS (Property Description/Legal Description). 6 optional loops are listed by their first segment.How the EDI 265 worksReal Estate Title Insurance Services Order:who sends it, where it fits and what thestandard marks required1 WHERE IT FITSUSUALLY FOLLOWSStarts the exchangeEDI 265SENDERMortgage lenderor closing agentRECEIVERTitle insurancecompany oragent997 or 999 acknowledgment back, if the partnersagreeUSUALLY FOLLOWED BY197Real Estate Title Evidence997Functional Acknowledgment2 WHAT X12 RELEASE 008010 REQUIRESInterchange: sender and receiver IDs (ISA… IEA)Functional group, ID code TO (GS … GE)Transaction set 265 (ST … SE)HEADINGBGNBeginning SegmentRequired loop N1 · repeats up to 5N1Party IdentificationDETAILRequired loop LX · repeats manytimesLXTransaction Set LineNumberREFReference InformationPDSProperty Description/LegalDescription+ 6 optional loops, starting with:IN1MCDN1TISPWKBlue box: required loop. Optional loops are listedby the segment that starts them; when a loop isused, that first segment is required. Optionalsegments outside loops are not drawn.Structure: required segments and loops in the X12008010 listing for the 265. Your trading partner'simplementation guide adds its own requirements.

How to read this diagram: the top row shows who sends the 265, to whom, and which documents usually come before and after it. The lower part shows what X12 release 008010 itself requires: the envelopes around the 265 and the segments and loops the standard marks as required, area by area. Optional loops are listed by the segment that starts them rather than drawn in full. This is the standard's minimum, not a trading partner's requirement: each partner's implementation guide usually makes some optional loops mandatory, restricts the codes and may use a different release.

Expand diagram Download SVG

When it is used

  • Ordering title insurance for a mortgage
  • Ordering title searches and commitments
  • Changing or cancelling title orders

Where it fits in the document flow

This document 265 Real Estate Title Insurance Services Order

Structure

Mandatory segments in the 265 (X12 release 008010)

The segments X12 release 008010 marks as mandatory at their level, in order. Segments inside optional loops are needed only when the loop is used. This is the standard's requirement, not your trading partner's: each partner's implementation guide names the release it uses, adds the optional segments it requires and restricts the values. The requirement status comes from one published X12 reference listing and has not been checked against a second source.

  • ST
  • BGN
  • N1
  • LX
  • REF
  • PDS
  • IN1
  • N4
  • MCD
  • TIS
  • PWK
  • SE

Practical example

The 265 in practice

A lender approves a refinance and sends its title provider a 265 order with the property, the borrower, the new loan amount and the existing lender to be paid off. The title company searches the records and returns a commitment with a 197.

Implementation

Implementation considerations for the 265

  • Identify the property and parties precisely.
  • Check whether partners use MISMO XML instead of X12.
  • Track orders through to the final policy.
  • Cancel orders for loans that do not close.

Need help with the EDI 265?

ECOM maps, tests and monitors X12 documents for your trading partners and integrates them with your ERP.