Bulletin: MU000013

Note: This Bulletin has been replaced by Bulletin BH000002 . Use it for reference only.

Date:
September 24, 1993
To:
All Issuing Offices in Guam
RE:
Reinsurance

Dear Associates:

Reinsurance must be obtained on every insuring form issued with an amount over Stewart Title Guaranty Company's 1993 self-imposed limitation of $5,000,000.00. Before issuing any Policy, Commitment, Guarantee, Binder, or any other insuring form over $5,000,000.00 - underwriting personnel must approve issuance of your high liability transaction and a reinsurance commitment must be obtained from the reinsurer(s).

Please fill out and fax the form referenced at the end of this bulletin to the Reinsurance Department along with any preliminary, commitment or pro-forma policy to be issued along with your approved "Overlimit Policy Authority Form" in order to obtain Stewart Title Guaranty Company's approval to issue and to obtain a Reinsurance Commitment. You will be responsible for the reinsurance costs per your contract.

Also, it is very important to send all endorsements issued after date of policy on each reinsured policy to the reinsurance department in order to forward to the reinsurers to not disturb the existing reinsurance. For example - all disbursement endorsements issued must be forwarded on to the reinsurers. Any modification endorsements must be approved by the reinsurers before being issued, and there will be an extra charge for each modification endorsement based on a percentage of basic rate of reinsurance.

If you have any questions or need further service, please do not hesitate to call Leslee Sisk at (800) 729-1902 extension 2262.

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:
17.20 Reinsurance
Exceptions Manual:
Noncumulative Liability
Forms:
None