Guideline: ALTA Endorsement 12.0 and 12-06 (Aggregation)
This Endorsement is called the "tie-in," "cluster," or "spreader" endorsement. It is issued with the Loan Policy in many states on commercial transactions. The Endorsement aggregates the Amount of Insurance on each Loan Policy listed in the Endorsement. This Endorsement to multiple Loan Policies results in one liability for all policies; it creates the same result as one Policy covering multiple sites. This Endorsement is not designed to be issued with the Owner's Policy.
Endorsement 12 is issued with a 1992 ALTA Loan Policy. Endorsement 12-06 is issued with a 2006 ALTA Loan Policy.
(1) Underwriting Personnel of the Company (Stewart Title Guaranty Company) must approve issuance of this Endorsement.
(2) If the aggregate limit of liability exceeds the Company's self-imposed or statutory limits for single risks in your state, you must contact the Reinsurance Department of the Company.
(3) We prefer to show allocated amounts for the "Amount" of each policy, rather than the aggregate (generally the loan amount) liability for the separate Amount of Insurance for each Policy.
(4) This Endorsement is not available in some states. The multistate Aggregation Endorsement may not be issued in Florida. In Florida, only intrastate tie-in endorsements may be issued. In Pennsylvania and New Mexico, no tie-in or aggregation endorsement may be issued. In those states, one policy may be issued covering all tracts located in the state.
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.