On January 17^th, 2013, acting on authority granted by the Dodd-Frank Act, the Consumer Financial Protection Bureau (CFPB) released final rules surrounding the servicing of mortgage loans.  Issued in two notices amending the Truth In Lending Act, Regulation Z (full document available here) and the Real Estate Settlement Procedures Act, Regulation X (full document available here), the rules cover several major topics for lenders including billing statement and rate adjustment notification, intervention and contact with delinquent borrowers, loss mitigation and error resolution. A summary of the guidelines can be found here.

Most notable for the collateral protection industry are new guidelines surrounding lender-placed (‘force-placed’) insurance and its use by servicers to protect pledged collateral. Highlights include;

-          Definition of force-placed insurance and basis for placement of coverage

-          Established notification process prior to placement of coverage

-          Sample letter forms with specific content for lender use

-          Cancellation and premium refund requirements

-          Special provisions for escrowed accounts regarding the use of force-placed insurance

 Lee & Mason has been working closely with insurance carriers, legal counsel and industry leaders to sort through these final rules and their impact to our customers and will be providing more detailed information in the coming weeks. The new rules will not take effect until January 10^th, 2014 and already, the CFBP has been petitioned for an extension to this implementation date.  Additionally, those servicers with 5,000 loans or less who only service their own loans have been defined by the CFPB as small servicers and may be exempt from parts of the new rules.   Lee & Mason looks forward to navigating through these changes in the next twelve months and remain confident we can provide compliant, comprehensive coverage to our valuable customers.  For any questions, please contact Matt Washer at 888-685-8442, ext. 2317.

Lee & Mason Announces Two New Additions to Staff

Lee & Mason is proud to formally announce the addition of both Clifton ‘Skeeter’ Stone and Andrew Hilliard to the Louisville office.  Both joined the company in the Fall to help us better serve our existing client base while increasing our ability to provide comprehensive, compliant collateral protection insurance programs to new clients. Skeeter is a Missouri native and will be based in the Columbia area to help our Midwest customers and prospects.  A current, 16-year member of the Army Reserves and veteran of three separate tours in Iraq, Skeeter spent 2012 in sales before joining Lee & Mason.

Drew recently completed over seven years on active duty with the US Navy and has now transitioned to the Navy Reserves.  A graduate of the Naval Academy with operational and security-related experience, Drew will be working with Lee  & Mason’s outsourced tracking customers, helping them navigate the technical and compliance aspects of the process and coverage. Gregg Ryan, President, commented “The hiring of these two individuals demonstrates Lee & Mason’s continued commitment to our Armed Forces, both during and after Active Duty. We are excited about the contributions these young men can make to our customers and our company.”

Matt Washer, Vice President, authors this American Agent & Broker article

http://www.propertycasualty360.com/2012/10/24/dodd-frank-and-cfpbs-impact-on-community-leaders

Lee & Mason is pleased to announce the acquisition of Matterhorn Financial Services, Inc., effective April 1, 2012. This partnership combines two market leaders that specialize in providing risk management insurance products and services to the financial institution industry.

Matterhorn’s Timonium, Maryland operation will continue to operate as an integral part of Lee & Mason, providing service and support to its extensive client and agent base. “We are confident that Matterhorn will help Lee & Mason continue to grow and strengthen our core competencies,” stated Colvin “Gregg” Ryan, President of Lee & Mason.

Lee & Mason can now offer previously unavailable programs to Matterhorn agents using a variety of ‘A’ rated carriers.  These key lines of business include:

• Blanket Lender’s Single Interest (LSI) or Vendors Single Interest (VSI)
• Insurance Tracking and Collateral Protection Insurance (CPI)
• Gap Coverage for Auto Lending and Leasing
• Lender-Placed Mortgage Hazard Coverage
• Blanket Mortgage Hazard Coverage Protection
• Mortgage Impairment
• Flood Coverage
• Credit Life and Disability/Debt Protection
• Agents & Brokers Professional Liability

For any questions about this new partnership, please contact Craig Vermost at cvermost@leeandmason.com.

Lee & Mason Financial Services Increases Limits to $10 Million on Insurance Agent and Broker Professional Liability Coverages

NEW YORK--(BUSINESS WIRE)--Lee & Mason Financial Services, Inc., provider of one of the most comprehensive programs for Insurance Agents Errors and Omissions in the marketplace, recently increased their E & O limits from $5 million to $10 million.

“The additional limits demonstrate our commitment to serving the Errors and Omissions insurance needs of Property and Casualty Agents, Wholesalers, MGA’s and Program Administrators,” said Lee & Mason Senior Vice President Ray Wahl. “It also allows us to better meet the needs of our clients and brokers by supporting more of their business.”

Insurance Agents E&O, with limits of up to $10 million, are available on either a primary or an excess basis, and minimum premiums generally start around $4,000 ($7,500 in CA and TX). Coverage is available on an admitted basis in most states.

For further information about Insurance Agents and Brokers Professional Liability coverages, call Linda Blechman at Lee & Mason at 860-677-0500 ext. 404, email lindab@leeandmason.com or visit www.leeandmason.com.
Lee & Mason Partners with Freedom Specialty Insurance Company on their Agents E & O programs. Freedom Specialty is an A+XV rated premier New York-based operation providing superior risk management solutions and personalized service in specialty liability insurance.

About Freedom Specialty
Freedom Specialty Insurance Company is owned by Scottsdale Insurance Company, a wholly owned subsidiary of Nationwide Mutual Insurance Company, headquartered in Columbus, Ohio. Visit www.freedomspecialtyins.com to learn more about Freedom Specialty, or call Craig Landi at 212-329-6901.

About Lee & Mason
Lee & Mason Financial Services, Inc. is a leading provider of Insurance Agents Errors & Omissions coverage. With more than 90 years of combined underwriting experience, they have the expertise to offer coverage customized to the individual needs of each insured.

Lee & Mason operates as a full-service program administrator, handling underwriting, quoting and binding, policy issuance, premium collection and complete claim reporting.

Risk Management services hotline now available for Lee & Mason insurance agent/broker professional liability insureds

Hotline can help resolve issues before they become claims

NEW YORK – In this volatile litigation environment, it seems that any type of error or omission by an insurance agent or broker can result in a claim or lawsuit.  Quick access to legal resources can help in resolving issues before they become claims and prevent errors that can result in claims.

This was the reasoning behind the launch of a confidential, free risk management hotline. The service is offered through Freedom Specialty, a Scottsdale Insurance Company operation, and is available exclusively to policyholders written through Freedom Specialty’s insurance agent/broker professional liability program with Lee & Mason Financial Services, Inc.

“Our job is more than just providing financial protection in the event of a claim. We also provide peace of mind,” John Lopes, Freedom Specialty vice president said. “One way we are trying to do that is through this hotline. It gives our policyholders access to real people who can give them free, professional consultations quickly.”

In addition to the consultation service, a free library of risk management articles, alerts and a best practices checklist are also available.

For more information about Insurance Agents and Brokers Professional Liability coverages or to learn more about the hotline, call Linda Blechman at Lee & Mason, 860-677-0500 ext. 404 or visit www.leeandmason.com.

About Freedom Specialty
Freedom Specialty is a premier New York based Scottsdale Insurance operation providing superior risk management solutions and personalized service in specialty liability insurance.

Freedom Specialty benefits from Scottsdale’s A+XV rating to provide the financial strength and stability their customers expect and deserve. Scottsdale Insurance Company is a wholly owned subsidiary of Nationwide Mutual Insurance Company, headquartered in Columbus, Ohio. Visit www.freedomspecialtyins.com to learn more or call John Lopes at 212-329-6925.

About Lee & Mason
Lee & Mason Financial Services, Inc. is a leading provider of Insurance Agents Errors & Omissions coverage. With more than 90 years of combined underwriting experience, they have the expertise to offer coverage customized to the individual needs of each insured.
Lee & Mason operates as a full-service program administrator, handling underwriting, quoting and binding, policy issuance, premium collection and complete claim reporting.