Squitieri & Fearon, LLP is pursuing a class action on behalf of Financial Freedom and OneWest customers with mortgages and reverse mortgages who have been charged for forced placed insurance on their property or loan. Recently the federal judge overseeing the case upheld many of the claims in the case and allowed it to proceed. When a borrower’s homeowner’s, hazard, flood or wind insurance policy lapses, the lender or servicer may “force place” insurance on the borrower. Sometimes this is called “lender placed insurance.” However, many banks and servicers have turned this into a profit center by placing that insurance through their own affiliates at inflated premiums and rates that are significantly higher than market rates for similar .insurance. By doing this, the banks are able to profit because the higher premiums flow to the banks through the insurance agents that are affiliated with the banks.
If you are a customer of Financial Freedom or OneWest (or any other servicer or lender) and believe you have been harmed through forced place insurance practices, fill out this form, and someone from our firm will contact you shortly.