Lender Placed Flood Insurance
In the primary insurance layer, coverage must be available to protect the lender if the borrow is unable or unwilling to maintain required flood insurance. This coverage protects dwellings and other structures for the peril of flood up to the outstanding loan balance. In addition, coverage is available for debris removal, loss avoidance measures (sandbags, pumps, labor etc), loss assessment from associations, increase cost of compliance by government agencies, temporary housing expenses.

This insurance will be administered using the Miniter - Flood System. This system will enable the lender to track homeowners flood insurance, generate letters to the borrower regarding lapses in coverage, allow the lender to place flood insurance for both mortgaged and REO properties, and provide simple monthly billing to the lender. This system is currently in the design stage. In the interim, a manual fax system will be available to place and cancel coverages.