Could RESPA Reform Raise Title and Settlement Fees?

The Nov 2008 RESPA update encourages lenders to place downward pricing pressure on settlement fees.  At the same time it places greater responsibilities on the lender's shoulders, including a responsibility for 3rd party charges.  Some say this might actually result in increased title and settlement fees because each purchase transaction might now have 2 title/settlement agents.
 
Under the new RESPA rule, lenders are responsible for making sure borrower costs don't increase significantly between GFE and HUD-1 by recommending a title and settlement provider on the GFE.  While at the same time in a purchase transaction, the seller is often selecting the title insurance company. How will this change the transaction?  Will loan originators simply inform borrowers that use of the seller selected provider means that GFE to HUD tolerances no longer apply?  And if so, will the lenders feel relief that they no longer have to remain within the tolerance restrictions?  Or do you think borrowers will demand the fees and/or provider listed on the GFE?  And if so, do you think that tansactions across the country will become "split" as they are in some states already wherein the seller has one title/settlement company while the buyer and lender employ a second title/settlement company?
 
What is common in your market?  What questions do you have about split closings and RESPA reform?  What has your experience been with split closings?