United Guaranty Corporation Announces Disaster Policy and Forbearance Measures in Response to Hurricane Sandy
Forbearance measures provide flexibility for homeowners coping with severe property damage.
GREENSBORO, NC, November 2, 2012
With thousands of homes sustaining damage from Hurricane Sandy and related storms, mortgage insurer United Guaranty has initiated a disaster policy related to loans currently in process, and will work with mortgage lenders and servicers to provide flexibility for borrowers who have encountered severe property damage and interrupted employment.
United Guaranty's disaster policy related to new originations and HARP refinances follows that of Fannie Mae and Freddie Mac.
Forbearance measures to prevent foreclosure actions on those coping with storm damage should follow the procedures on dealing with homeowners affected by disasters, natural or otherwise, found in the guidelines established by Fannie Mae and Freddie Mac. Servicers will not need prior approval from United Guaranty for workout terms on individual cases in these guidelines.
"As homeowners along the East Coast begin to assess damage, this action gives our master policy holders a great deal of latitude in serving borrowers in declared disaster areas," said Brian Gould, senior vice president–Loss Management, Underwriting, and Servicing. "With widespread property damage, people in these areas have a lot to cope with in terms of repairs and work interruptions. In working with lenders whose customers have been affected, we are prepared to accept a range of reasonable solutions where mortgage payment is concerned."
About United Guaranty
United Guaranty Corporation and its subsidiaries provide innovative, quality risk solutions that help mortgage lenders remain competitive while generating a profitable and responsible book of business for their stakeholders. Products include first-lien private mortgage insurance—most notably Performance Premium®, an industry-leading risk-based pricing option—and compliance review services. Among United Guaranty's suite of loan analysis and risk management tools are indices that measure loan risk and geographic quality. United Guaranty was established in Greensboro, North Carolina, in 1963 and is a company of American International Group, Inc.
Jo Fleischer, Director – Media Relations
O: 336.333.0433 | C: 336.609.3957
1 United Guaranty is a marketing term for United Guaranty Residential Insurance Company.