- March 18, 2002
- All Issuing Offices in New Jersey
- Successors and Transferees Endorsement
The New Jersey Department of Banking and Insurance has approved the use of a new Successors and Transferee endorsement effective as of September 17, 2001. The form is designated NJRB-5-66 and will be available from our forms department shortly. A sample of the new endorsement is available through the references section at the end of this bulletin, and for your review which should be inserted in your Manual of Forms.
The endorsement amends the definition of "insured" in the title policy to include those who take title to the insured property:
- By operation of law (as opposed to a voluntary conveyance) such as heirs,
devisees, next of kin, etc.; or
- As trustees or beneficiaries of an inter vivos or testamentary trust; or
- As transferees for a nominal consideration where the parties are related by blood or marriage.
This endorsement may be used solely in connection with a title policy issued to a natural person. It replaces the Inter Vivos Trust Endorsement ? Standard Policy (NJRB-5-40), Inter Vivos Trust Endorsement ? Residential Policy (NJRB-5-41), Inter-Spousal Transfer Endorsement ? Standard Policy (NJRB-5-49) and Inter-Spousal Transfer Endorsement ? Residential Policy (NJRB-5-50). Please discontinue the use of these forms immediately.
The charge for this endorsement is ten percent (10%) of the applicable underwriting charge if the endorsement is given at the time of issuance of the underlying policy, and twenty percent (20%) of the currently applicable underwriting charges for the underlying policy if provided after the issuance of the underlying policy.
Should you have any questions in connection with the issuance of this endorsement, please call the state office for underwriting approval.
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.