Insured AVM Policy definition
Insured AVM Policy. With respect to any Mortgage Loan, the related policy which provides coverage for certain losses related to the valuation of such Mortgaged Property upon the liquidation of such Mortgaged Property in an amount equal to the lesser of: (i) losses of principal and (ii) the amount by which the Insured AVM overstated the mortgaged property's value at origination.