Tuesday, April 03, 2007

TIRBOP Polices and Rates, continued


When title insurance is issued for a leasehold estate by the issuance of an owner's policy and/or loan policy with Endorsement PA 1130 and/or Endorsement PA 1140 attached, the amount of insurance shall be equal to:

(a) the aggregate of the total rentals payable under the lease; or

(b) the aggregate of the total rents for the 6 years immediately following the settlement or closing of the lease transaction; or

(c) a reasonable statement of estimated rents on percentage leases; or

(d) the appraised value at the time of insuring the premises as established by an appraiser acceptable to the Insurer; or

(e) the land and total projected costs of such proposed improvements in the case of proposed construction; or

(f) the purchase price of the estate when insuring an assignment of a leasehold estate, including all obligations assumed.

The Charge for the issuance of an owner's policy with Endorsement PA 1130 attached or the issuance of a loan policy with Endorsement PA 1140 attached shall be the same Charge for the issuance of a policy insuring fee simple estate under this Manual. Where an owner's policy and loan policy are issued simultaneously on the same property with Endorsements PA 1130 and PA 1140 respectively attached, they shall be treated as a single policy and the Charge shall be based on the policy with the highest limits.

Where a leasehold estate is to be insured simultaneously with the interest of an owner and/or mortgagee of the fee simple estate, the Charge shall be the applicable rate for owner and/or mortgagee plus 30% of the applicable Charge for the leasehold interest. The Charge for any insurance in excess of the face amount of such owner's and/or loan policy shall be determined under the applicable Schedule of Rates.

ho hum.........Are you still awake? ;)

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