The amount of homeowner`s insurance (which is a type of property insurance) you should normally have is the amount needed to cover the cost of rebuilding/replacing your home. 

For example: if your RCV (“Replacement Cost Value”, the amount your insurance agent estimates is needed to rebuild your home) is $300,000, then you should have $300,000 in coverage.

Of course, we always recommend speaking to your insurance agent to make sure you get the coverage that`s right for you.

Wondering if you are required to have homeowner`s insurance? 

Your mortgage requires you to have enough insurance to, at the very least, cover the remaining principal on your loan (or loan balance). For example: if your unpaid principal totals $90,000, and your RCV is $300,000, you are required to carry insurance totaling at least $90,000. 

To request the removal of your escrow account, please send us a message via the message center at mwf.servicingdivision.com/msg. Please note certain requirements need to be met to qualify for the escrow account removal.

It`s important to note that in some situations your loan may not be eligible for escrow removal. If you have an FHA-insured mortgage, or a government loan, you must maintain the escrow account for the life of the loan. Some, but not all, of the other qualifying factors are: an LTV below 80%, your loan having been in good standing for at least 12 months, no history of LPI (lender placed insurance), and a positive escrow balance.

Be sure to ask your insurance agent if you get a discount for having an escrowed loan, where the insurance premium is paid in full up front.

Yes, you can choose your own insurance carrier. However, we have some standards they must meet in order to make sure they`re providing you with the protection you need and deserve.

We will approve a carrier as long as it maintains one of the following ratings as published in the A. M. Best Company`s Insurance report: a B or better policyholder rating or a 6 or better financial rating.

Of course, you can. If you do change your carrier, please notify us by sending a copy of the front page(s) of your new insurance policy. Make sure the page(s) include the insured`s name, address, policy period, location of premises, policy limits, and any other key information. The name on your mortgage must match the named insured on the policy.

You can mail the page(s) to the address below.

Mountain West Financial
ISAOA/ATIMA
P.O. Box 2828
Daytona Beach, FL. 32120-2828

Upload them to the web here: https://ExpressInsuranceInfo.com/3145081

Or fax them here: 248-710-1610

Some carriers may require a full year`s premium to be paid at the time of the change. We’ll pay that premium when they provide us the policy bill at this address.

Don`t worry, we can take care of this. If there have been changes made to your insurance policy or carrier, we`ll need to know right away, so that we can keep your escrow account up to date.

Here`s what you need to do:

Visit https://ExpressInsuranceInfo.com/3145081. You will be asked to enter 3145081 and your loan number. Then you`ll be asked to upload confirmation of your changes.

If you have questions about insurance changes. We are always more than happy to help you figure out the not-so-easy-to-figure-out details. Please give us a call at 1-855-770-4246.

The below Mortgagee Clause is always required to be on your insurance policy. If you don`t see it, call your insurer (add) and/or agent and they should be able to help you.

Mountain West Financial
ISAOA/ATIMA
P.O. Box 2828
Daytona Beach, FL. 32120-2828

Homeowners insurance (which is a type of property insurance) protects you in the event that your home or belongings are damaged, stolen, or destroyed. This is the most common type of insurance, and it typically covers all of the perils below:

• Fire and smoke
• Lightning strikes
• Windstorms and hail
• Explosion
• Vandalism and malicious mischief
• Damage from an aircraft, car or vehicle
• Theft
• Falling objects
• Weight of ice, snow or sleet
• Water damage

These policies commonly exclude these perils:

• Earthquake
• Flood

Below we`ve provided you with an overview of some other types of insurance. We are not suggesting that you need all of these.

If you`re not sure about your requirements, call your insurance carrier or agent--they`ll be able to help you figure this out.

This covers your personal possessions--for example, furniture, electronics, clothes, et al. While it`s not required, it`s a good idea to have contents insurance just in case the unexpected happens--for example a home burglary or fire. This type of insurance is optional and not included in your payments for your escrow account. Most homeowner’s policies include contents coverage, and your agent will usually ask you how much you need when you get your policy.

Flood insurance is required if you live in a Special Flood Hazard Area (SFHA). This is an area with a special mudflow, and/or flood related erosion hazard.

Depending on your property`s location, you may need to carry flood insurance. This is determined at the time of loan closing. Mountain West Financial monitors your property should it subsequently be put in a zone that requires flood insurance.

Flood policies generally need to meet the lower of the following:
The full replacement cost of the dwelling and insurable improvements made to it, or the maximum allowed through the National Flood Insurance Program, which is $250,000.

You are always required to have windstorm/hurricane coverage, but if you live in a high-risk coastal state, or Hawaii, your insurance agent may offer you a Homeowner’s policy that excludes that coverage. If you obtain a homeowner’s policy that excludes this peril, you are required to obtain a separate windstorm/hurricane insurance policy.

If you live in a townhouse, condominium, or other residential area that requires you to pay a homeowner`s association (HOA) fee, you may also be required to purchase extra insurance related to your HOA. In most instances, your insurance fees will be included in your monthly HOA fees.

It`s important to note that these policies will likely have restrictions, and you may want to consider additional coverage for items not covered in you HOA policy.

If you live in a townhouse, condominium, or other residential area that has HOA insurance coverage, that HOA insurance may not provide “walls-in” coverage for your unit. This means it may not cover things like your paint, flooring, plumbing, and lighting in the event of a loss.

When that’s the case, you are required to obtain “Unit Owner’s” insurance in order to cover everything the HOA policy doesn’t. This policy will often be escrowed and paid through your monthly mortgage payment.

If your homeowner`s insurance coverage has lapsed, insufficient, or if we`ve been notified of a policy cancelation, we are required to obtain hazard insurance coverage on your behalf. Often this coverage is more expensive than the coverage you are able to purchase on your own. In addition, it only covers the structure. Your personal property is not included in such coverage. Lender Placed Hazard insurance will always be paid out of your escrow account.

The best way to make sure this doesn`t happen is to make sure your premiums are timely paid, your policies are timely renewed, and you or your agent sends us your policy information every year. The great news is that we always send you a reminder if your policy is about to expire, and we always go to your agent first to try and save you the hassle. And, if you`re facing lender-placed insurance, we`ll provide you plenty of notice and the opportunity to obtain your own coverage first.