Title Insurer Reviews Stock Option Policies

First American Corp., the second-largest U.S. title insurer, asked its independent directors to review the company’s stock option grant policies and said it might need to take a write-down.

The review is “in response to recent publicity regarding stock option grant practices” and an examination of second-quarter financial statements, Santa Ana-based First American said in a filing with the Securities and Exchange Commission.

More than 80 companies have said they were examining stock options to see whether award dates were improperly manipulated to maximize the recipients’ profits. Options allow holders to buy shares at a future date at the price on the day they were granted.