Loss Analysis: Finding Causes of FHA Claim Recovery Shortfalls
Servicers face immense risk when it comes to handling the liquidation of a distressed property and the various associated investor claims effectively and in a timely fashion. Not only are there several different types of claims, but investors/insurers have strict requirements associated with each of the different claim types, exponentially adding to the complexity of the filing process.
This is why engaging in a Loss Analysis program, whether internally or with an outside vendor, is important and allows for a final review of your investor claims to ensure all expenses are included and also mitigate potential hefty fines.
Loss Draft Management: A Better Way
Lenders and their customers don’t have to struggle with the loss draft process—the management of funds from borrower filed hazard insurance claims—which is viewed today as frustrating and expensive due to inefficient communications, inflexible business rules, and an outdated, paper-intensive environment.
DIMONT’s solution fixes these inefficiencies by streamlining communications through a common technology platform, which allows our insurance claims experts to manage the process, all while maintaining direct servicer-to-customer relationships that are configurable to the unique portfolio management or customer service strategies of the bank or third-party servicer.
Collateral Loss Avoidance Strategy for Auto Lenders
For consumer lenders, effective loss management is a critical success factor for their long-term business survival. As a result, lenders spend a significant amount of time and effort forecasting their loss projections on auto loan originations and other asset classes.
This paper covers such important considerations as:
- The foundations of a strong collateral loss avoidance strategy
- The impact of having quality insurance information on the vehicle
- Modern Data framework for Collateral Loss Avoidance, and
- Advanced Use Cases
Download the white paper to find out more.
Auto Insurance Monitoring and Loss Mitigation Strategies
Increasing borrower outreach using data analytics
One in eight licensed drivers is uninsured. And the number among uninsured drivers and subprime auto borrowers is even larger. Our numbers show that 35-40% of subprime auto loan borrowers are uninsured, while the uninsured rate is 10-15% for prime portfolios.
However, the story is more complex than the numbers reveal. Lenders must consider the loan-to-value amounts of their portfolio, the margins earned on loans, and how their profits can be compromised by claims as a result of this issue.
This webinar examines the credit risks posed by uninsured drivers and provides strategies for mitigating the risks faced by auto lenders.
Filing hazard insurance and investor guaranty claims can be time and labor intensive and carry a high risk of loss for noncompliance or failure to meet statutory time lines. Our white paper addresses the two areas in which servicers can effectively limit their losses on FHA loans that go into default. Because the work of filing hazard insurance and investor guaranty claims is highly specialized, it requires extensive amounts of time and labor, which servicers do not have the staff for. For servicers, having quality and experienced partners will result in lower costs, lower losses and less time spent on filing hazard insurance and investor guaranty claims.
Maintaining compliance can be an overwhelming task for servicers; however, it does not have to be. Our white paper addresses the top compliance concerns for financial service companies. Because institutions must follow both state and federal regulation requirements, including the Gramm-Leach-Bliley Act and the Biggert-Waters Act, insurance claims management is complex. For servicers, knowing ways in which you can achieve compliance in the most efficient, effective ways can help make your burden more like a breeze.