Home » Finance » Insurance

Protection Insurance Policies

Aug 5, 2008
What if an alternate payer, such as my mortgage company, pays my premium? Your account bill reflects all payments made on your policies, including when an alternate payer such as your mortgage company, was billed and when Electric Insurance received a payment.In July of 1999, legislation became effective which requires mortgage insurance (MI) companies to terminate their borrower paid insurance policies once a borrower's loan balance reaches 78% of the original property value (there are exceptions to this law, i.e. lender paid (MI), so read your mortgage insurance disclosures carefully). Borrowers are entitled to receive a refund of the unearned portion of the premium they paid once the mortgage insurance policy is canceled.

What if I receive no offers and I can't find coverage on my own? Be willing to accept a policy with a surplus lines carrier if necessary. Large independent insurance agencies usually are licensed to sell surplus lines insurance or they have contacts with others that can tap that market. Surplus lines companies are ""eligible"" to do business in Texas when licensed companies are unwilling to write the coverage.Mortgage insurance, often called ""private mortgage insurance"" or PMI for short, insures the lender against losses which could be incurred should the borrower not make payments and the loan go into default. It is this kind of insurance which allows lenders to make loans where the borrower's down payment is less than 20%.

What is PMI? Can I remove the PMI on my loan? Both PMI and MIP are mortgage insurance policies that are required for all loans that have a loan to value (LTV) ratio greater than 80%. These insurance policies protect the lender, not the borrower, against default of the loan. PMI is private mortgage insurance issued on conventional loans and is based on the loan amount multiplied by a certain factor dependent on the LTV. MIP is the government loan equivalent to PMI.Mortgage insurance, often called ""private mortgage insurance"" or PMI for short, insures the lender against losses which could be incurred should the borrower not make payments and the loan go into default.

What if an alternate payer, such as my mortgage company, pays my premium? Your account bill reflects all payments made on your policies, including when an alternate payer such as your mortgage company, was billed and when Electric Insurance received a payment.Title insurance protects you from losses that occur from various matters affecting title to land. There are two basic types of policies: Owners' policies to protect the owner, and Loan policies to protect the bank's mortgage.

How long does it take to get my title policy? How quickly you receive your owners policy depends on how quickly the Register of Deeds can record and post the recording information for your documents. All documents sent for recording must be properly recorded and returned to the title company before we can issue the title insurance policies. Sometimes delays can occur if the sellers mortgage company is slow to record a discharge. The typical wait is 4 months.

What is private mortgage insurance (PMI)? Private mortgage insurance (PMI) policies are designed to reimburse a mortgage lender up to a certain amount if you default on your loan. Most lenders require PMI on loans where the borrower makes a down payment of less than 20%. Premiums are usually paid monthly or can be financed. With the exception of some government and older loans, you may be able to drop the mortgage insurance once your equity in the house reaches 22% and you've made timely mortgage payments.Mortgage insurance insures the lender against losses should the borrower not make payments and the loan go into default. It is this kind of insurance that allows lenders to make loans where the borrower's down payment is less than 20%.
About the Author
Finally! The whole unbiased truth about mortgage insurance disability exposed.
Rating:
Please Rate:
(Average: Not rated)
Views: 184
Print Email Report Share
Article Categories
    • Artists
    • Gambling
    • Humanities
    • Humor
    • Movies
    • Music
    • Photography
    • Tattoos
    • Television
    • Classic Cars
    • Motorcycles
    • Recreational Vehicles
    • SUVs
    • Trucks
    • Vans
    • Branding
    • Business Opportunities
    • Careers and Jobs
    • Corporate
    • Customer Service
    • Direct Mail
    • Entrepreneurship
    • Ethics
    • Financing
    • Franchising
    • Home-Based Business
    • Human Resources
    • Import and Export
    • Leadership
    • Management
    • Market Research
    • Marketing and Advertising
    • Negotiation
    • Network Marketing
    • Networking
    • Organizational
    • Presentation
    • Project Management
    • Public Relations
    • Small Business
    • Strategic Planning
    • Team Building
    • Telemarketing
    • Training
    • Data Recovery
    • Databases
    • Games
    • Hardware
    • Networks
    • Operating Systems
    • Programming
    • Security
    • Software
    • Spyware and Viruses
    • Ask an Expert
    • College and University
    • Home Schooling
    • K-12
    • Languages
    • Online Education
    • Psychology
    • Coffee
    • Cooking
    • Gourmet
    • Recipes
    • Wine and Spirits
    • Acne
    • Aerobics
    • Alternative Medicine
    • Beauty
    • Cancer
    • Cosmetics
    • Depression
    • Diabetes
    • Diseases and Conditions
    • Fitness Equipment
    • Fitness
    • Hair Loss
    • Heart Disease
    • Medicine
    • Men's Health
    • Muscle Building
    • Nutrition
    • Skin Care
    • Supplements and Vitamins
    • Weight Loss
    • Women's Health
    • Yoga
    • Arts and Crafts
    • Babies
    • Collecting
    • Elderly Care
    • Genealogy
    • Hobbies
    • Parenting
    • Pets
    • Pregnancy
    • Woodworking
    • Feng Shui
    • Gardening
    • Home Appliances
    • Home Security
    • Interior Design
    • Landscaping
    • Affiliate Programs
    • Article Marketing
    • Auctions
    • Audio
    • Banner Advertising
    • Blogging
    • Broadband
    • Domain Names
    • E-Books
    • E-Commerce
    • Email Marketing
    • Ezines and Newsletters
    • Forums
    • Internet Marketing
    • Link Popularity
    • Pay-Per-Click
    • Podcasting
    • RSS
    • Search Engine Marketing
    • Search Engine Optimization
    • Security
    • Social Media
    • Spam
    • Video
    • Viral Marketing
    • Web Design
    • Web Development
    • Web Hosting
    • Copyright
    • Cyber Law
    • Intellectual Property
    • National, State, Local
    • Patents
    • Regulatory Compliance
    • Trademarks
    • Buying
    • Selling
    • Baseball
    • Basketball
    • Boating
    • Cycling
    • Extreme Sports
    • Fishing
    • Football
    • Golf
    • Hockey
    • Hunting
    • Martial Arts
    • Running
    • Scuba Diving
    • Soccer
    • Swimming
    • Tennis
    • Dating
    • Divorce
    • Marriage
    • Weddings
    • Astrology
    • Buddhism
    • Christianity
    • Faith
    • Hinduism
    • Islam
    • Judaism
    • Meditation
    • Metaphysical
    • New Age
    • Cable and Satellite TV
    • Cell Phones
    • Communication
    • Gadgets and Gizmos
    • GPS
    • Satellite Radio
    • Video Conferencing
    • VoIP
    • Addictions
    • Coaching
    • Goal Setting
    • Motivational
    • Stress Management
    • Time Management
    • Clothing
    • Electronics
    • Fashion
    • Gifts
    • Jewelry
    • Causes and Organizations
    • Environment
    • History
    • Holidays
    • Men's Issues
    • Nature
    • Philosophy
    • Politics
    • Women's Issues
    • World Affairs
    • Air Travel
    • Camping
    • Cruises
    • Destinations
    • Outdoors
    • Article Writing
    • Book Reviews
    • Copywriting
    • Fiction
    • Non-Fiction
    • Poetry
    • Quotes
    • Screenplay
    • Tools and Resources