Notices & Compliance
Before placing LPI, borrowers must first receive these.
What are required notification letters or notices?
What is Exposure Analysis?
This screen is reviewed to determine whether coverage should be added, terminated, or canceled.
What is Lender Placed Insurance (LPI)?
This type of insurance is placed by the servicer when a borrower fails to maintain required coverage.
What is XNOCV?
This stop code indicates the coverage amount is missing.
This type of insurance follows requirements established under the NFIP.
What is Flood Insurance?
What is 30 days?
The second warning letter for Hazard/Wind insurance is generally sent this many days after the first notice.
What is Full Exposure?
This status indicates there is no acceptable insurance coverage for the exposure period.
The primary purpose of LPI is to protect this.
What is the Collateral
What is EDATA?
This stop code indicates collateral information may be inconsistent and should be reviewed.
What is Bank of America (BANA)?
This organization may have no new-loan deferral period before placement activity begins.
What is 15 days?
The bind letter is generally sent this many days after the second warning notice.
What is Add?
This action starts the lender placement process.
What is a Preferred Policy?
This is the insurance policy obtained and maintained by the borrower.
What is XPREP?
This stop code indicates the system is waiting for payment processing before proceeding.
For loans closed after March 1, 2009 these two condo policies are generally required.
What are the HOA Master Policy and HO6 Policy?
What is 45 days?
Borrowers typically have approximately this many days to provide proof of coverage before LPI charges begin.
What is Terminate?
This action stops future LPI coverage while preserving valid historical coverage periods.
What are types of insurance that can be lender placed?
Hazard, Flood, and Wind are examples of this.
What is XSFUT?
This stop code indicates a future exposure date exists.
What is LP Letter - Bind?
This transaction history entry indicates the lender placed policy has officially bound.
ederal regulations require servicers to refund overlapping lender placed insurance premiums when this is received.
What is proof of borrower-obtained insurance coverage?
What is a Flat Cancel?
This cancellation type removes LPI because borrower coverage existed during the lender placed period.
This occurs when a borrower's insurance expires and is not renewed.
What is a coverage lapse?
What is EZCLT?
Unable to calculate total limit. An E2 value will need ordered.
The primary goal of LPI processing is maintaining this to ensure lender placed insurance is only added when required.
What is accurate reporting and timely insurance updates?