Loan Processor is requesting Hazard/Home Insurance information...

[Anonymous]

I'm not sure as to why. Should I just get a quote from a provider and will it tentatively place me until their system until I go to closing?

[namvet]

---

@Anonymous wrote:

I'm not sure as to why. Should I just get a quote from a provider and will it tentatively place me until their system until I go to closing?

---

   You will need to pick the insurance company you want to carry your home owners policy befor closing of your loan.  For now a quote will do so the processor has some numbers to work with for the underwriting process.

[Anonymous]

Alright! Thank you so much. Also, my realtor was confusing the heck out of me by stating that I will have to pay for the entire year out of my pocket. That doesn't sound right, I thought this was worked into the mortgage and divided by 12 through-out the year. 

[ripper998]

yes but you will pay for the first year up front, its part of your closing costs.  It was on mine.

[DallasLoanGuy]

---

@Anonymous wrote:

Alright! Thank you so much. Also, my realtor was confusing the heck out of me by stating that I will have to pay for the entire year out of my pocket. That doesn't sound right, I thought this was worked into the mortgage and divided by 12 through-out the year. 

---

you will pay for a year policy at closing.... it will be one of your prepaid items.

you will escrow an additional 2 months (2/12).

[boomhower]

Common mistake.  I thought the same thing as you, you'd just pay it monthly.  But it does make sense when you think about it that they want a year up front.

[JusdoNit]

---

@Anonymous wrote:

I'm not sure as to why. Should I just get a quote from a provider and will it tentatively place me until their system until I go to closing?

---

Experiencing something about the same.  I did however call my current carrier to get a quote that turned out to be 4x theirs (OUCH) since our current home has been broken into twice in the last 3 years.  They call it a surcharge.  Guess they want me to take my business elsewhere

[StartingOver10]

Ask them if they checked your CLUE report. If so, ask if you can see a copy of it. I don't know for sure, but I have heard that insurance companies keep a database on claims by each person and for each property. I believe there is an insurance score for people and a CLUE report for properties. But I may have that backward..lol. 

Hopefully someone versed in the insurance industry can step in and answer your question.

[StartingOver10]

Check Allstate, they seem to be moving toward the insurance broker business (at least here in Fl).

Also, check an insurance broker - they can shop a bunch of company's for you and get you good quotes. The one we use here is just for Fl and they have 110 companies that they check. By a good quote, I mean the best combination of coverage and rate.

[Anonymous]

---

@StartingOver10 wrote:

Ask them if they checked your CLUE report. If so, ask if you can see a copy of it. I don't know for sure, but I have heard that insurance companies keep a database on claims by each person and for each property. I believe there is an insurance score for people and a CLUE report for properties. But I may have that backward..lol. 

Hopefully someone versed in the insurance industry can step in and answer your question.

---

You are correct. I don't know the name of it, probably your CLUE but there is a growing database shared by member insurance companies that not only shares claim information with each other but keeps track of who is shopping venders, other than their own, for insurance.