Common use of Coverage Amounts Clause in Contracts

Coverage Amounts. ‌ This section describes the amount of fidelity and E&O coverage that the PFI or Servicer is required to maintain. Fidelity (3/28/17)38‌ The PFI or Servicer must have in force and maintain fidelity insurance coverage in an amount per loss or occurrence that is at least equal to the MPF Bank’s minimum required insurance limit calculated as follows: Base* MPF Bank’s Minimum Required Insurance Limit < $100 million $300,000 ≤ $500 million $300,000 +0.150% of Base over $100 million ≤ $1 billion $300,000 +0.150% of $400 million (i.e. $600,000) +0.125% of Base over $500 million > $ 1 billion $300,000 +0.150% of $400 million (i.e. $600,000) +0.125% of $500 million (i.e. $625,000) +0.100% of Base over $1 billion *The Base is defined as the total portfolio of all first-lien 1-4 family and multi-family residential Mortgage Loans serviced by the PFI for itself and others. This includes Mortgage Loans serviced on the PFI’s behalf by a sub-servicer or designated an affiliate servicer.