Lender-Placed Insurance More Robust Data Could Improve Oversight |
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| Author:
| Cackley, Alicia Puente |
| ISBN: | 978-1-4578-7094-1 |
| Publication Date: | Nov 2015 |
| Publisher: | DIANE Publishing Company
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| Book Format: | Paperback |
| List Price: | USD $20.00 |
Book Description:
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Mortgage servicers use Lender-Placed Insurance (LPI) to protect the collateral on mortgages when borrower-purchased homeowners or flood insurance coverage lapses. The 2007-2009 financial crisis resulted in an increased prevalence of LPI. Because LPI premiums are generally higher than those for borrower-purchased coverage, state insurance regulators and consumer groups have raised concerns about costs to consumers. This report addresses (1) the extent to which LPI is used; (2)...
More DescriptionMortgage servicers use Lender-Placed Insurance (LPI) to protect the collateral on mortgages when borrower-purchased homeowners or flood insurance coverage lapses. The 2007-2009 financial crisis resulted in an increased prevalence of LPI. Because LPI premiums are generally higher than those for borrower-purchased coverage, state insurance regulators and consumer groups have raised concerns about costs to consumers. This report addresses (1) the extent to which LPI is used; (2) stakeholder views on the cost of LPI; and (3) state and federal oversight of LPI. Includes recommendations. Tables and figures. This is a print on demand report.