Bulletin: WI2016001

Date:
February 23, 2016
To:
All Wisconsin Issuing Offices
RE:
RATES AND/OR FORMS UPDATE - ALTA Residential Limited Coverage Mortgage Modification Policy

Dear Associates:

The Office of the Commissioner of Insurance has approved for use in Wisconsin on or after March 7, 2016, the American Land Title Association (ALTA) policy form(s) listed below. 

ALTA Residential Limited Coverage Mortgage Modification Policy (12-01-14)

The ALTA Residential Limited Coverage Mortgage Modification Policy may be issued in connection with a modification of a mortgage by an institutional lender covering one-to-four residential real property or condominium. The charge for the Modification Guarantee shall be $150.00. The charges shall not include any charges for separate services, including abstracting or search services, or recording, that are provided to institutional lenders.

This is a new product, developed and designed by the American Land Title Association, in order to establish an ALTA standard policy product that will give lenders a uniform title product, which provides the assurances that the validity, priority and enforceability of the original mortgage has not been diminished or lost by reason of the mortgage modification. 

The ALTA Residential Limited Coverage Mortgage Modification Policy (12-01-14) insures against loss or damage sustained by the Insured by reason of: (1) the invalidity or unenforceability of the lien of the Insured’s Mortgage upon the Title at Date of Policy as a result of a covered mortgage modification; and (2) The loss of priority of the lien of the Insured’s Mortgage, at Date of Policy, over any defects in or liens or encumbrances on the Title as a result of a covered mortgage modification.

NOTE: You must contact PropertyInfo Customer Care or your title production software vendor to get the new rates/forms changes implemented in your system.  

If you have any questions relating to this or other bulletins, please contact a Stewart Title Guaranty Company underwriter.

For on-line viewing of this and other bulletins, please log onto www.vuwriter.com.

THIS BULLETIN IS FURNISHED TO INFORM YOU OF CURRENT DEVELOPMENTS. AS A REMINDER, YOU ARE CHARGED WITH KNOWLEDGE OF THE CONTENT ON VIRTUAL UNDERWRITER  AS IT EXISTS FROM TIME TO TIME AS IT APPLIES TO YOU, AS WELL AS ANY OTHER INSTRUCTIONS. OUR UNDERWRITING AGREEMENTS DO NOT AUTHORIZE OUR ISSUING AGENTS TO ENGAGE IN SETTLEMENTS OR CLOSINGS ON BEHALF OF STEWART TITLE GUARANTY COMPANY. THIS BULLETIN IS NOT INTENDED TO DIRECT YOUR ESCROW OR SETTLEMENT PRACTICES OR TO CHANGE PROVISIONS OF APPLICABLE UNDERWRITING AGREEMENTS. CONFIDENTIAL, PROPRIETARY, OR NONPUBLIC PERSONAL INFORMATION SHOULD NEVER BE SHARED OR DISSEMINATED EXCEPT AS ALLOWED BY LAW. IF APPLICABLE STATE LAW OR REGULATION IMPOSES ADDITIONAL REQUIREMENTS, YOU SHOULD CONTINUE TO COMPLY WITH THOSE REQUIREMENTS.

References

Bulletins Replaced:
None
Related Bulletins:
None
Underwriting Manual:
None
Exceptions Manual:
None
Forms:
ALTA Residential Limited Coverage Mortgage Modification Policy (12-01-14) Technical Correction 08-01-16