Excessive Property Insurance

12/12/2013

New Rules Protect Consumers Against Excessive Force-Placed Insurance Fees

Force-Placed Flood Insurance Lawsuits Audet and Partners

New mortgage servicing rules enacted by the Consumer Financial Protection Bureau go into effect January 10, 2014 to protect consumers from widespread unfair practices related to force-placed mortgage hazard insurance.  Mortgage servicers will now be prohibited from charging excessive fees on force-placed policies. Here is an overview of two major substantive rules regarding force-placed insurance. Excessive Fees Limitations Since the financial crisis, the mortgage industry has reaped millions in profits from force-placing expensive insurance policies on unsuspecting borrowers when their own policies lapsed... Read More