Class Eligibility

To see if you will be affected by this class action, you first have to determine if you are a member of the Settlement Class.

The “Settlement Class” includes all borrowers in the United States who, within the Class Period (as defined below), were charged by PHH Mortgage Corporation under a hazard, flood, flood gap, or wind-only LPI Policy for Residential Property, and who, within the Class Period, either (i) paid to PHH the Net Premium for that LPI Policy or (ii) did not pay to and still owe PHH the Net Premium for that LPI Policy. Excluded from the Class are: (i) individuals who are or were during the Class Period officers or directors of the Defendants or any of their respective affiliates; (ii) any justice, judge, or magistrate judge of the United States or any State, and their spouses; (iii) borrowers who only had an LPI Policy that was cancelled in its entirety such that any premiums charged and/or collected were fully refunded to the borrower or the borrower’s escrow account; and, (iv) all borrowers who file a timely and proper request to be excluded from the Class.

The “Class Period” is from January 1, 2006 through July 31, 2015.

“LPI Policy” means a lender-placed residential hazard, flood, flood gap, or wind-only insurance policy or policies issued by ASIC, SGIC, or VIIC, or another insurance company and placed pursuant to a mortgage loan agreement, home equity loan agreement, or home equity line of credit serviced by PHH to cover a borrower’s failure to maintain the required insurance coverage on the residential property securing the loan.

Estimated Amount

Varies

A credit or payment equal to 6% of the Net Premium on the LPI Policy issued during the Class Period to claimants who were charged for a flood, wind or hazard LPI Policy on or after February 1, 2014;

A credit or payment equal to 11.5% of the Net Premium on the LPI Policy issued during the Class Period to claimants were charged for a hazard LPI Policy on or before January 31, 2014.

Proof of Purchase

Yes

Case Name

In re: PHH Lender Placed Insurance Litigation,
Case No. 1:12-cv-01117
U.S. District Court for the District of New Jersey

Case Summary

This lawsuit involves lender-placed insurance (“LPI”), which is insurance (hazard, flood, flood gap, or wind-only) that is placed on a borrower’s property to protect the borrower and mortgage lender when the borrower’s insurance policy lapses, or when the borrower does not maintain a homeowner’s insurance policy that is acceptable to the mortgage lender. When an LPI Policy is placed pursuant to law or the borrower’s mortgage contract, PHH pays premiums to the LPI insurer who writes the policy, and then PHH charges the borrowers for those premiums.

The Plaintiffs have brought claims on behalf of all persons in the Settlement Class (as defined in response to Question 5). Plaintiffs allege that when a borrower was required to have insurance for his or her property pursuant to a residential mortgage or home equity loan or home equity line of credit, and evidence of acceptable coverage was not provided (for example, when the insurance policy did not exist or had lapsed), PHH would place insurance in a manner such that PHH allegedly received an unauthorized benefit. Plaintiffs allege further that PHH did so primarily to receive alleged “kickbacks” in the form of expense reimbursements or expense subsidies from the Assurant Defendants. Plaintiffs also allege that the way in which LPI policies were obtained and placed caused the amounts charged to be excessive.

All Defendants expressly deny Plaintiffs’ allegations and assert their actions are fully authorized under the mortgage instruments and by law. They also expressly deny that they did anything wrong. There has been no court decision on the merits of this case and no finding that Defendants committed any wrongdoing.

Settlement Pool

N/A

Deadline

10/27/2017

Contact


1-844-702-7326
Gallo/Finch/Burroughs Settlement Center
c/o JND Legal Administration
PO Box 6878
Broomfield, CO 80021

9 responses to “PHH Mortgage Lender-Placed Insurance Class Action Settlement”

  1. Linda Love says:

    How do I file a claim I’m nearly 70 years old. I live in Flordia and live primarily on an egg diet for health reasons for approx 3 years. The filing claim form is so hard to understand, I’m a senior citizen and need assistance in filling out the form claim for myself. Call someone call me an walk me thru it.

    ADMIN – Hi Linda,

    This has nothing to do with eggs. This settlement is about Lender-Placed Insurance

    • John says:

      Linda I really hope you called this person to confirm if they could be a client. If not maybe you should not be a customer contact person.

  2. Barbie ortega says:

    Hello ive had phh mortgage since 2012 but cannot remember if i was charged how can i find out.?

    ADMIN – Hi Barbie,

    This one is easy to remember. If you did not pay your insurance and provided evidence of paying they will automatically place insurance for your home.

  3. Christal Crowe says:

    How can I find out if I had lpi?

    ADMIN – Hi Christal,

    Super simple, look at your mortgage statement.

  4. sandra cripps says:

    i know this did happen to my daughter and i remember the inc premiumwas higher than what she previously paid how do i find out if the placed the flood / wind on the inc to see if she qualifys for this?

    ADMIN – Hi Sandra,

    Read the section that addresses class eligibility.

  5. MELODY DIGREGORIO says:

    We had a PHH loan for our tractor for over 16,000. Are any of these loans covered in this lawsuit?

    ADMIN – Hi Melody,

    No, the keyword in this settlement is mortgage.

  6. Stephanie Ford says:

    I had PHH Mortgage until they took my house from me I pay my mortgage until I lose my job back then and my income was not the same they put me on a home-saving programs that was in 2009 thu 2012. after the program was over they for close on the house without helping me any forward I made all payment. I look at my mortgage statement and I pay all of that PMI Insur is that the same if not I am very sure that they took that insu out on my because my insu call me and said you homeown insu has being close and I was still making payment to PHH Mortgage. I have a copy of that lettle from the Insur now.

    ADMIN – Hi Stephanie,

    If they placed forced insurance on you you are a class member.

  7. Janelle Kronschnable says:

    I bought my house Aug 2014 and dealt with PHH Mortgage. I’m not sure if they were charging me for an LPI policy. How would I know that?

    ADMIN – Hi Janelle,

    You could call them and ask

  8. Cynthia Sotelo says:

    I filed a claim a long time ago. How do we find out if we are entitled to payment or credit? My mortgage has been sold again now to Dovenmuehle. My insurance is escrowed. Is ther a number associated with this lawsuit? Please let me know. Thank you
    Cynthia Sotelo

    ADMIN – Hi Cynthia,

    The contact information associated to this settlement is as follows:
    1-844-702-7326
    Gallo/Finch/Burroughs Settlement Center
    c/o JND Legal Administration
    PO Box 6878
    Broomfield, CO 80021

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