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#1872444 - 11/19/13 04:16 PM Force-Placed Insurance Notices
Elizabeth Forney Offline
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Elizabeth Forney
Joined: Nov 2013
Posts: 1
Forest Park, IL
I am reviewing my bank's force-placed insurance notices wth the new requirements effective January 10, 2014. In our first notice, we give an estimated cost of the force-place insurance.

1024.37(c)(2)(ix)(A) states: "(ix) A statement that insurance the servicer has purchased or purchases:
(A) May cost significantly more than hazard insurance purchased by the borrower;" A bit later in the regulation, 1024.37(c)(4)states that "Additional information. A servicer may not include any information other than information required by paragraphs (c)(2) of this section in the written notice required by paragraph (c)(1)(i) of this section. However, a servicer may provide such additional information to a borrower on separate pieces of paper in the same transmittal."

Am I understanding this correctly that we CANNOT state an estimated force-place insurance cost in the first notice?

Thank you for your help. ~Elizabeth F~

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#1963916 - 09/23/14 03:55 PM Re: Force-Placed Insurance Notices Elizabeth Forney
SoftballMom33 Offline
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SoftballMom33
Joined: May 2014
Posts: 18
I would like to know this as well..thanks

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#1968739 - 10/10/14 02:35 PM Re: Force-Placed Insurance Notices Elizabeth Forney
Cara Hoff Offline
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Joined: Jan 2013
Posts: 11
IL
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#1968774 - 10/10/14 03:33 PM Re: Force-Placed Insurance Notices Elizabeth Forney
John Burnett Offline
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John Burnett
Joined: Oct 2000
Posts: 40,086
Cape Cod
That's how I would read the rule, Elizabeth. If you want to include that extra morsel of information, you'll need to include it on a separate sheet from the notice.
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