Bulletin: MU2014003

Date:
March 05, 2014
To:
All Issuing Offices except Delaware, Florida, Louisiana, North Carolina New Jersey, New Mexico, New York, Ohio, Oregon, Pennsylvania and Texas
RE:
RATES AND/OR FORMS UPDATE - New and Revised ALTA Forms (12-02-13)

Dear Associates:

The American Land Title Association (ALTA) has recently adopted or revised the forms listed below:

ALTA Endorsement 11.2-06 (Mortgage Modification with Additional Amounts of Insurance) (12-02-13) insures against loss or damage sustained by the Insured by reason of: (a) The invalidity or unenforceability of the lien of the Insured Mortgage upon the Title as a result of the Modification; (b) The lack of priority of the lien of the Insured Mortgage over defects in or liens or encumbrances on the Title, (with exceptions, if any); (c) The failure of matters to be subordinate to the lien of the Insured Mortgage, (matters to be insured as subordinate should be specified, if any). For guidelines, click here.

ALTA Endorsement 41-06 (Water-Buildings) (12-02-13) insures against loss or damage sustained by the Insured by reason of the enforced removal or alteration of any Improvement resulting from the future exercise of any right existing at Date of Policy to use the surface of the Land for the extraction or development of water excepted from the description of the Land or excepted in Schedule B. For guidelines, click here.

ALTA Endorsement 41.1-06 (Water-Improvements) (12-02-13) insures against loss or damage sustained by the Insured by reason of the enforced removal or alteration of any Improvement, resulting from the future exercise of any right existing at Date of Policy to use the surface of the Land for the extraction or development of water excepted from the description of the Land or excepted in Schedule B. For guidelines, click here

ALTA Endorsement 41.2-06 (Water-Described Improvements) (12-02-13) insures against loss or damage sustained by the Insured by reason of the enforced removal or alteration of any Improvement resulting from the future exercise of any right existing at Date of Policy to use the surface of the Land for the extraction or development of water excepted from the description of the Land or excepted in Schedule B. For guidelines, click here

ALTA Endorsement 41.3-06 (Water-Land Under Development) (12-02-13) insures against loss or damage sustained by the Insured by reason of the enforced removal or alteration of an Improvement or a Future Improvement, resulting from the future exercise of any right existing at Date of Policy to use the surface of the Land for the extraction or development of water excepted from the description of the Land or excepted in Schedule B. For guidelines, click here

ALTA Endorsement 42-06 (Commercial Lender Group) (12-02-13) insures against loss or damage sustained by the Insured by reason of: (a) The invalidity or unenforceability of the lien of the Insured Mortgage caused by transfers after the Date of Policy of portions of the Indebtedness by the Participants; (b) Loss of priority of the lien of the Insured Mortgage, which loss of priority is caused by transfers after the Date of Policy of portions of the Indebtedness by the Participants. For guidelines, click here

ALTA Endorsement 43-06 (Anti-Taint) (12-02-13) insures against loss or damage sustained by the Insured by reason of the loss of priority of the lien of the Insured Mortgage, as security for the amount of the Indebtedness advanced as the Term Loan, resulting from reductions and subsequent increases of the outstanding principal amount of the Indebtedness payable as the Revolving Credit Loan. For guidelines, click here

ALTA Endorsement 44-06 (Insured Mortgage Recording) (12-02-13) insures against loss or damage sustained by the Insured by reason of the failure of the Insured Mortgage to have been recorded in the Public Records as set forth in Section 3 of the Endorsement. For guidelines, click here

ALTA Expanded Coverage Residential Loan Policy 7-26-10 (Revised 12-02-13). This policy was revised to include the following exclusions from coverage: (10) Contamination, explosion, fire, flooding, vibration, fracturing, earthquake, or subsidence; and (11) Negligence by a person or an Entity exercising a right to extract or develop minerals, water, or any other substances. For guidelines, click here

ALTA Homeowner’s Policy 2-3-10 (Revised 12-02-13). This policy was revised to clarify coverage relating to trusts or estate planning entities within CONDITION 2.b. (3), and to include the following exclusions from coverage: (8) Contamination, explosion, fire, flooding, vibration, fracturing, earthquake, or subsidence; and (9) Negligence by a person or an Entity exercising a right to extract or develop minerals, water, or any other substances. For guidelines, click here

These forms are currently available for use in Illinois, Iowa, Massachusetts, Mississippi and Oklahoma. In those states where form and/or rate filings are required, we will distribute subsequent state-specific bulletins as these forms become available. 

You may continue to issue the prior versions where available. 

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.

For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.