Guideline: ALTA Short Form Expanded Coverage Residential Loan Policy (1/1/08)

Explanation:

This policy is the Short Form version of the ALTA Expanded Coverage Residential Loan Policy (1/1/08). It incorporates the insuring provisions, exclusions and conditions of that ALTA policy.  This policy does not expressly incorporate optional endorsements, since those endorsements are automatically incorporated in the ALTA Expanded Coverage Residential Loan Policy (1/1/08), and are therefore automatically incorporated in the ALTA Short Form Expanded Coverage Residential Loan Policy (1/1/08).  Schedule B of this policy acknowledges that the exceptions are subject to the insurance of the applicable Covered Risks, but does not otherwise contain affirmative insurance for the exceptions in Schedule B because the affirmative insurance already appears in the ALTA Expanded Coverage Loan Policy Covered Risks (insuring provisions) or in the incorporated endorsements.   This policy also provides gap coverage because a Covered Risk of the Expanded Coverage Residential Loan Policy (1/1/08) contains such coverage and is incorporated.

Underwriting Requirements:

You must:

  1. Issue the ALTA Short Form Expanded Coverage Residential Loan Policy (1/1/08) only if you comply with our requirements for issuance of the ALTA Expanded Coverage Residential Loan Policy (1/1/08). 
  2. You do not need to add an Addendum unless you have special exceptions, other than restrictions, easements, and minerals based upon an examination of title. You may insure a subordinate lien if you show the superior lien in the Addendum.
  3. Perform a general index search for the time period of the statute of limitations on judgments in your jurisdiction, and for the time period of the limitations on Federal judgments and Federal tax liens. Check taxes, assessments of all types, and other governmental charges. Be satisfied that there are no recent unpaid bills for improvements.  Search back the longer of one bona fide deed or one institutional mortgage.
  4. Schedule A should show the Street Address of the land.  You may use the address shown on the mortgage or other reasonable evidence, such as tax information.
  5. Schedule A should show the Loan Number.
  6. You may add "successors and assigns" language if requested by the lender.
  7. Add the date of settlement as the Date of Policy.

The underwriting guidelines contained herein have been provided for general reference. The facts, circumstances, and location of the subject property should be considered when determining the issuance of the requested form or endorsement. Please note that all of the forms and endorsements included in this system may not be available in all states. Accordingly, please contact the appropriate Stewart Title Guaranty Company underwriting personnel in order to determine availability.

Compliance with the underwriting guidelines contained herein in no way obligates Stewart Title Guaranty Company to issue any form or endorsement.