Proposed 12 CFR 1024.37 addresses procedures to be followed when force-placing hazard insurance. For some reason, I left the WONDERFUL (and it was) BOL Triage session thinking that the new regulation would REQUIRE us to take action upon receipt of an insurance cancellation notice. We current DO NOT track or act upon cancellation notices, as we are covered under an Errors and Ommissions Policy.
Does this proposal REQUIRE us to force-place, OR establish procedures and notice requirements for banks that do force-place?
If we can continue with our E&O policy, then I believe this section would not apply to us. Any thoughts?