Who is responsible for the payment of hazard insurance premiums and property tax installments?
The University does not impound for hazard insurance premiums or property tax installments. Accordingly, you are responsible for the timely payment of these items. Given that these expenses often total several thousand dollars per year, we suggest that you plan for these expenses by establishing a separate monthly savings plan to accumulate the necessary funds for these expenses. • What are the hazard insurance requirements for my loan? As you may be aware, hazard insurance is required on your property in an amount equal to the full replacement value of the improvements on the property as established by your property insurer. Forms of residential property insurance that are acceptable under University Mortgage Loan Programs include: (1) Guaranteed Full Replacement Cost Coverage; or (2) Extended Replacement Cost Coverage that pays up to a specified amount above the policy limit. In many cases, especially if the home is several years old, it is advisable to also obtain a partial or full
