Effective November 1, 2024 (Order 2024-8851)

R-6. Subsequent Issuance of Mortgagee Policy

1. to Owner Policy - When a Mortgagee Policy( ies) is asked for, subsequent to the issuance of an Owner Policy which excepted to the Vendor’s Lien, the premium will be one-half the Basic Rate. The lien to be insured must be as initially developed, and excepted to in the Owner Policy, and not an extension or rearrangement thereof. Such Mortgagee Policy( ies) shall be released in the amount of the existing unsettled balance of stated indebtedness. The Company will be provided such proof as it might require validating such unsettled balance, that the insolvency is not in default and that there has actually been no acceleration of maturity. THIS RULE MAY NOT BE APPLIED in connection with the issuance of a series of Mortgagee Policies provided by factor of notes being assigned to specific systems in connection with a master policy covering the aggregate indebtedness, including enhancements. Individual Mortgagee Policies must be issued at the Basic Rates.

2. Subsequent to Mortgagee Policy - When a Mortgagee Policy( ies) is requested, for any factor whatsoever, on a lien currently covered by an existing Mortgagee Policy( ies), but not on a renewal or extension thereof, the brand-new policy being in the amount of the present unpaid balance of the indebtedness, the premium for the new policy will be at the Basic Rate, however a credit for three-tenths (3/10) of stated premium might be enabled.

1. Subsequent to Mortgagee Policy - When an insolvent insurer is put in irreversible receivership by a court of qualified jurisdiction and a Mortgagee Policy( ies) is asked for on a lien currently covered by an existing Mortgagee Policy( ies) of said insolvent insurance company, but not on a loan to use up, renew, extend or satisfy an existing lien, the brand-new policy remaining in the amount of the current overdue balance of the insolvency, the premium for the new policy will be at the fundamental rate, however a credit for one-half of stated premium will be permitted, unless such credit would lower the premium to less than the minimum Basic Rate, in which case the rate shall be the minimum Basic Rate. The insured will surrender the existing Mortgagee Policy( ies) to the Company when positioning the order for a brand-new Mortgagee Policy( ies). The date of Policy for the new policy( ies) shall be the same Date of Policy as the existing Mortgagee Policy( ies).
   
   R-7. Mortgagee Policies Covering First and Subordinate Liens Issued Simultaneously
   
   When a Mortgagee Policy is issued on a Very first Lien, and other policy( ies) is issued on Subordinate Lien( s), developed in the very same transaction, covering the very same land or a part thereof, the premium for the First Lien policy shall be calculated on the total of the combined liens