Challenging the Force-Placed Insurance Business Model: Break-Even Analysis
Challenging the Force-Placed Insurance Business Model: Break-Even Analysis Challenging the Force-Placed Insurance Business Model: Break-Even Analysis Introduction This blog post will be the 6th and final post for this series on Challenging the Force-Placed Insurance...
Part 5: Challenging the Force-Placed Insurance Business Model: Flood Insurance
The history of Force-Placed Insurance would not be complete without including the force-placed flood insurance turmoil that occurred after the 2012 passage of the Biggert-Waters Act. The mandatory escrow requirements had a negative effect on the legacy force-placed insurance business model.
Part 4: Challenging the Force-Placed Insurance Business Model – The Regulatory Clean Up
Part 4: Challenging the Force-Placed Insurance Business Model – The Regulatory Clean Up Introduction In part 3, we discussed how money center banks created a force-placed insurance fee income source using captive insurance companies owned by the lenders. In this...
Part 3 – Challenging the Force-Placed Insurance Business Model: Pre-Dodd-Frank Fee Income
To understand why the words “force-placed insurance” appear in the Dodd-Frank Law 331 times, we have to look back on how the money-center banks got involved in the force-placed insurance premium money train.
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Part 2 – Challenging the Force-Placed Insurance Business Model: Early History
Part II in the blog series “Challenging The Force-Placed Insurance Business Model: Early History”. This post will discuss the early history going back to when insurance trackers received overnight packages containing X-checking data files. We discuss the history up to the passage of the Dodd-Frank Act.