we have a blanket insurance policy that covers us if a consumers insurance lapses. We do not track insurance once the loan is consummated. The consumer is not charged after the loan is made for this blanket policy.

Do we have to follow the force placement guidelines since we do not force place or charge for this blanket policy?

Do we have to follow the force placement guidelines since we do not force place....

No.

Thank you Randy!

How does this blanket policy work?

Does the bank just eats the cost for it?

The bank pays for it, but I have not heard of too many blanket policies that cover real estate without a lot of caveats.

yes, I agree with rlcarey............ we looked at blanket and then discovered it is not a good deal...... very expensive and you cannot pass cost on to borrower like when you force place. So bank has to eat 100% of the cost of blanket. And with blanket you still have to open insurance mail to look for flood policy expirations and expirations on loans that are not covered by blanket.

Has anyone used Lee & Mason for this blanket policy? We are in the process of going with them so we do not have to track and force place.

We looked at going with them, but it was cost prohibitive for us.

Just found this discussion, so I'll ask my question here: Do you charge a fee for force placing insurance? If so, how much do you charge the customer?