Force-Placed Insurance and Bank Legal News Articles & Interviews

Washington, DC: There is little doubt that the act of allowing homeowner insurance to lapse on a mortgaged property is not, with little exception, done maliciously. For most, the lapse of property insurance has more to do with human error (forgetting to renew), or financial hardship (“do we pay the insurance this month, or feed the baby?”) There is also little doubt, however that while Lender insurance is a perfectly legal and appropriate response in order to protect the investment of the lender, the extraordinary costs associated with lenders insurance are both mean-spirited and unnecessary.

New York, NY: Yet another Lender insurance class action lawsuit could soon be in the pipeline with investigation into the machinations of Cenlar FSB, identified as a leading provider of mortgages and mortgage servicing suspected of participation in a ‘cozy’ relationship with a provider of lenders insurance.

Chicago, IL: As Americans continue to bring Lender insurance lawsuits against entities that allegedly force-place insurance onto property owners at higher rates, Canadians who own property in the US continue to be warned about the potential for lenders insurance.

Orlando, FL: A couple from Florida are not at all happy with their residential loan servicing company and the insurance company their Force-Placed Insurance Bank teamed up with to ram what they view as unnecessary and excessive insurance coverage down their collective throats. To that end, John C. Sekula and his wife, Jacqueline, have filed a class-action Force-Placed Insurance Bank lawsuit, in an attempt to achieve some justice against forces that appear to be motivated by greed.

Miami, FL: A Force-placed insurance lawsuit against Nationstar Mortgage and Ocwen Loan Servicing LLC has been settled for a combined payout of $217 million. According to the Daily Business Review (11/11/15), the Ocwen share of the settlement was approved in September for $77 million in a New York court, while the Nationstar settlement, valued at $140 million, was given the nod in early November in Miami.

Miami, FL: A Force-placed insurance lawsuit appears to have all the mystery and intrigue of a novel, with allegations of money laundering and other claims against Homeward Residential Holdings Inc. (Homeward) and other defendants.

Newark, NJ According to court documents, plaintiff Robert DiGiacomo took on no fewer than four defendants in his class-action Force-placed insurance lawsuit. Those defendants include Statebridge Company LLC, American Modern, American Modern Insurance Group (AMIG), and Midwest Enterprises. Allegations include breach of contract, breach of implied covenant of good faith and fair dealing, violation of the New Jersey Consumer Fraud Act (NJCFA), breach of fiduciary duty, and violations of the Racketeer Influenced and Corrupt Organizations Act (RICO).

Miami, FL A settlement deal reached in April between defendants in a Lender Insurance lawsuit and homeowners over Force-Place Insurance premiums that were allegedly inflated was formally approved by a federal judge in Florida September 14. The final bill for defendants Ocwen Financial Corp. and Assurant Inc. will be $140 million.

Stamford, CT Wells Fargo and Assurant face a force-placed insurance lawsuit alleging the financial firms artificially inflated force-placed insurance premiums charged to homeowners. The two companies are the latest in a line of financial institutions alleged to have charged excessively high rates for force-placed insurance - also called lender-place insurance.

Minneapolis, MN As lawsuits go, most defendants will attempt to dismiss a case whether or not a dismissal is even meritorious to begin with. Such is the case with a Lender insurance lawsuit brought by various homeowners against US Bank and American Security Insurance Company (ASIC), a subsidiary of Assurant Inc. The plaintiffs, respectfully, hold that any attempt to dismiss their lawsuit is premature.