Effective November 1, 2024 (Order 2024-8851)
R-6. Subsequent Issuance of Mortgagee Policy
1. Subsequent to Owner Policy - When a Mortgagee Policy( ies) is requested, subsequent to the issuance of an Owner Policy which excepted to the Vendor's Lien, the premium will be one-half the Basic Rate. The lien to be guaranteed need to be as initially created, and excepted to in the Owner Policy, and not an extension or rearrangement thereof. Such Mortgagee Policy( ies) will be issued in the amount of the current overdue balance of said indebtedness. The Company shall be provided such proof as it might need confirming such unpaid balance, that the insolvency is not in default and that there has been no velocity of maturity. THIS RULE MAY NOT BE APPLIED in connection with the issuance of a series of Mortgagee Policies provided by factor of notes being apportioned to individual units in connection with a master policy covering the aggregate indebtedness, consisting of enhancements. Individual Mortgagee Policies should be released at the Basic Rates.
2. Subsequent to Mortgagee Policy - When a Mortgagee Policy( ies) is requested, for any reason whatsoever, on a lien currently covered by an existing Mortgagee Policy( ies), however not on a renewal or extension thereof, the new policy remaining in the quantity of the present unsettled balance of the insolvency, the premium for the brand-new policy shall be at the Basic Rate, but a credit for three-tenths (3/10) of said premium might be allowed.
3. Subsequent to Mortgagee Policy - When an insolvent insurance company is placed in permanent receivership by a court of skilled jurisdiction and a Mortgagee Policy( ies) is asked for on a lien currently covered by an existing Mortgagee Policy( ies) of stated insolvent insurance provider, but not on a loan to take up, restore, extend or please an existing lien, the brand-new policy remaining in the quantity of the present unsettled balance of the insolvency, the premium for the brand-new policy shall be at the basic rate, but a credit for one-half of stated premium shall be allowed, unless such credit would decrease the premium to less than the minimum Basic Rate, in which case the rate shall be the minimum Basic Rate. The insured will give up the existing Mortgagee Policy( ies) to the Company when putting the order for a brand-new Mortgagee Policy( ies). The date of Policy for the new policy( ies) shall be the exact same Date of Policy as the existing Mortgagee Policy( ies).
R-7. Mortgagee Policies Covering First and Subordinate Liens Issued Simultaneously
When a Mortgagee Policy is released on a Very first Lien, and other policy( ies) is released on Subordinate Lien( s), created in the exact same deal, covering the same land or a portion thereof, the premium for the First Lien policy will be calculated on the total of the combined liens
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Basic Manual Of Title Insurance, Section III
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