413.01E
Ratings
All property and liability insurance carriers for renewal policies must comply with the following.
| If rated by... | Insurance carrier must have a... |
|---|---|
| A.M. Best Company |
|
| Demotech, Inc. | Financial Stability Rating of A or better. |
This rating requirement does not apply to:
- state pools or funds; or
- NFIPNFIPProgram of flood insurance coverage and floodplain management administered under the National Flood Insurance Act. policies.
Per the Loan DocumentsLoan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. , even if the policy has not yet expired, the ServicerServicerPrimary Person servicing the Mortgage Loan, including the originator, seller, or a third party. must require the BorrowerBorrowerPerson who is the obligor per the Note. to immediately obtain replacement coverage with a compliant carrier if the carrier is downgraded below:
- B++, if rated by A.M. Best Company; or
- A, if rated by Demotech, Inc.