IMPORTANT insurance update for realtors & mortgage lenders

[Doug Newman]

Please be advised of some major changes in the insurance world.

Waiting until the last minute to set up your insurance is never a good idea, even in the best of times.

However, because of recent changes in the insurance marketplace, please advise your clients to begin the insurance process immediately after the house goes under contract.

 Several carriers have suspended operations over entire states.

 Other carriers are tightening their underwriting standards and adding additional binding requirements.

 These things are prolonging the insurance process.

 Please take this into account when scheduling the closing process and plan for the process to take a few extra days.

[Ryan Muska]

I learned this the hard way.

After getting my house closed on. The next week I got a letter from Travelers saying that my insurance was being cancelled. Luckily I secured new insurance (at a cheaper rate) immediately after, but that was a very stressful few days...