Bulletin: FL000017

Dear Associates:

We have recently been advised that TMC Mortgage states that it now must require affirmative coverage with regard to certain exceptions which basically relate to filled lands and also to navigational servitude. This results from a letter that they, in turn, received from FNMA calling for such affirmative coverage.

I have consulted with Wally Senter and he has restated the Insurance Department's position that it will not permit the affirmative coverage sought and that if any policy is issued which provides that coverage, it is in direct violation of the rules of the Department. We are so advising FNMA. I intend to bring this matter to the attention of the Florida Title Underwriters Bureau to be certain that we are all aware that issuing such coverage is illegal.

If you should hear that any agency or underwriter is issuing such coverage, please bring this to the attention of either myself or Harold Hickman immediately as we must not be put at a competitive disadvantage by anyone who chooses to circumvent the rules.

Be certain that in issuance of your commitments you take the proper exceptions for filled lands and you are reminded that the navigational servitude endorsement may not be modified in any way. The endorsement is to be issued only with the approval of Harold Hickman or myself.