The time-lapse only goes through 2018, and there was a large amount of development in 2019, 2020, and 2021.

It didn't so my registration lapsed in September.  

I will answer with the worst scenario I can think of, without putting too much time into this:You get shot to death while trying to evict a deadbeat tenant whose methlab exploded resulting in an injury claim against you personally, all happening right after you discover lapsed insurance on your over-encumbered rental house with a balloon payment due next week.I guess there are worse thing that might happen, too.

Or are you indicating that the insurance lapses when the property becomes a REO and you need to take some action to continue coverage?

This might lead to a sticky situation upon audit or examination, particularly if the three year statute has lapsed but the six year has not.

With that said most let it lapse after the first year. 

This also let's me know if their insurance lapses.

Current insurance is going to lapse next week.

I've passed the test and only have a few months to get licensed before it expires, so I will be sure to not let that lapse.  

(don't let those licenses lapse).