Skip to content

Monthly life Insurance Policy Fee on LE/Closing

Answered by: 

Question: 
Does the monthly life insurance policy fee need to be disclosed on the loan estimate and closing disclosure on 1st and 2nd mortgages? The policy is offered by the lender but it is not a requirement of the loan. This one is on a 2nd closed-end mortgage and the monthly fee is included with the P & I payment for the mortgage.
Answer: 

If it is not required by the lender, then why would it be in the P&I payment amount on the LE/CD. I don't think you will find any guidance in TRID that would indicate that monthly premiums for voluntary insurance belong anywhere on the LE/CD.
_

First published on 08/25/2019

Filed under: 
Filed under lending as: 

Banker Store View All

From training, policies, forms, and publications, to office products and occasional gifts, it’s available here:

Banker Store

hot right now

image description

Looking for effective, convenient training on a particular subject?

BOL Learning Connect offers more than 200 courses ON-DEMAND or on CD ROM from AML to Reg Z and every topic in between.

Search Topics