- August 17, 2011
- All Massachusetts Issuing Offices
- Rate Changes
A new rate book for Massachusetts, effective as of August 1, 2011, will be sent to you soon. An electronic version of the rate book can be found here for your convenience, simply click on Calculate Rates, then Rate Book.
The rate changes are as follows:
1. For Standard Loan policies, the premium rate for coverage amounts in the $1-2 Million range is being raised from $2.00/$1,000 to $2.50/$1,000 providing a single rate of $2.50 above the minimum charge up to and including $2 Million.
2. For Enhanced Loan policies, the premium rate for coverage amounts in the $1-2 Million range is being raised from $2.20/$1,000 to $2.75/$1,000 providing a single rate of $2.75 above the minimum charge up to and including $2 Million.
A refinance rate shall apply on all 1-4 family residential refinance transactions if the property is currently encumbered by a first mortgage held by an institutional lender recorded within the last 7 years. The refinance rate is based upon a credit of 40% off the regular policy premium.
With respect to refinance transactions, please note that due to our dual rate structure you will continue to have the flexibility to charge either $1.50/$1,000 for Standard Loan policies or $1.65/$1,000 for Enhanced Loan policies. Also, a new column has been added to the rate book tables for easy reference to refinance loan premiums.
Please contact your software company to ensure that they have updated your system with the new rates. If you are currently utilizing StewartDocs or AIM, a Stewart technology representative will contact you to update your system. For further questions in that regard, please contact our local technology manager Dick Perez at 617-933-2410 or firstname.lastname@example.org.
While the new rates are effective as of August 1, 2011, please note that you will be allowed a five (5) month grace period within which to have your systems updated and to start honoring the new rates. Accordingly, while policies issued on or before December 31, 2011, under the previous rate structure will be honored and accepted by the Company, all policies issued after that date MUST be calculated based upon this new rate structure.
Stewart Title Guaranty Company
Boston Office • 99 Summer Street, Suite 1250, Boston, MA 02110
SpringfieldOffice • 1380 Main Street, 2nd Floor, Springfield, MA 01103
As a reminder, agents using AFW should contact PropertyInfo Customer Care to get the new rate changes implemented in their AFW 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.