Bulletin: AZ2015003

Date:
December 23, 2015
To:
All Arizona Issuing Offices
RE:
RATES AND/OR FORMS UPDATE - ALTA Residential Limited Coverage Mortgage Modification Policy

Dear Associates:

Effective January 2, 2016, the Arizona Department of Insurance has approved Stewart Title Guaranty Company to issue the following ALTA policy form:

ALTA Residential Limited Coverage Mortgage Modification Policy M-9274 (12-01-14)

The ALTA Residential Limited Coverage Mortgage Modification Policy may be issued in connection with a modification of a mortgage by an institutional lender covering one-to-four residential real property or condominiums. The charge for the ALTA Residential Limited Coverage Mortgage Modification Policy shall be $150.00. The rate shall not include any charges for separate services, including abstracting or search services, or recording, that are provided to institutional lenders.

This is a new product that has been developed and designed by the American Land Title Association in order to establish an ALTA standard policy product which will give lenders a uniform title product which provides the assurances that the validity, priority and enforceability of the original mortgage has not been diminished or lost by reason of the mortgage modification.

The ALTA Residential Limited Coverage Mortgage Modification Policy (12-01-14) insures against loss or damage sustained by the Insured by reason of: (1) the invalidity or unenforceability of the lien of the Insured’s Mortgage upon the Title at Date of Policy as a result of a covered mortgage modification; and (2) The loss of priority of the lien of the Insured’s Mortgage, at Date of Policy, over any defects in or liens or encumbrances on the Title as a result of a covered mortgage modification.

Any agent using AIM+ should contact PropertyInfo Customer Care to get the new rate(s) changes implemented in the AIM+ system. 

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.

References

Bulletins Replaced:
None
Related Bulletins:
None
Underwriting Manual:
None
Exceptions Manual:
None
Forms:
ALTA Residential Limited Coverage Mortgage Modification Policy (12-01-14) Technical Correction 08-01-16