FNTIC ALTA Policy Comparisons

ALTA LOAN POLICY COMPARISON CHART This comparison chart is intended as a guide to identifying differences between the 2021 and 2006 ALTA policies. It should not be relied upon for the interpretation of these policies. Updated 07-14-2021 ALTA LOAN POLICY COMPARISON CHART Page | 3 2006 ALTA LOAN POLICY 2021 ALTA LOAN POLICY COMPARISON (v. 7-30-2021) COMMENTS 6. An enforcement action based on the exercise of a governmental police power not covered by Covered Risk 5 if a notice of the enforcement action, describing any part of the Land, is recorded in the Public Records, but only to the extent of the enforcement referred to in that notice. 6. An enforcement action based on the exercise of a governmental forfeiture, police, regulatory, or national security power not covered by Covered Risk 5 if a notice of the enforcement action, describing any part of the Land, is recorded in the Public Records, but only to the extent of the enforcement referred to in that noticedescribed by the enforcing governmental authority in an Enforcement Notice. BROADENED COVERAGE. The 2021 ALTA policies include the added “forfeiture,” “regulatory,” and “national security” power in Covered Risk 6 and in Exclusion 1.b. 7. The exercise of the rights of eminent domain if a notice of the exercise, describing any part of the Land, is recorded in the Public Records. 7. The An exercise of the powerrights of eminent domain if, but only to the extent: SAME. The 2021 ALTA policies include a new defined term “Enforcement Notice” and a revised defined term “Public Records.” a. a notice of the exercise, describing described any part of the Land, is recorded in an Enforcement Noticethe Public Records.; or 8. Any taking by a governmental body that has occurred and is binding on the rights of a purchaser for value without Knowledge. 8. b. Anythe taking by a governmental body that has occurred and is binding on the rights of a purchaser for value without Knowledge. SAME. 8. An enforcement of a PACA-PSA Trust, but only to the extent of the enforcement described in an Enforcement Notice. NEW COVERAGE. The 2021 ALTA Loan Policy includes a new defined term “PACA-PSA Trust” and provides coverage if the Public Records contain an Enforcement Notice as of the Date of Policy. 9. The invalidity or unenforceability of the lien of the Insured Mortgage upon the Title. This Covered Risk includes but is not limited to insurance against loss from any of the following impairing the lien of the Insured Mortgage 9. The invalidity or unenforceability of the lien of the Insured Mortgage upon the Title. This Covered Risk 9 includes, but is not limited to, insurance against loss from any of the following impairing the lien of the Insured Mortgagecaused by: ADDED COVERAGE. The 2006 and 2021 ALTA Loan Policies provide a non-exhaustive list of coverages but does not limit coverage to those listed items. (a) forgery, fraud, undue influence, duress, incompetency, incapacity, or impersonation; (a). forgery, fraud, undue influence, duress, incompetency, incapacity, or impersonation; SAME. (b) failure of any person or Entity to have authorized a transfer or conveyance; (b). the failure of anya person or Entity to have authorized a transfer or conveyance; SAME. (c) the Insured Mortgage not being properly created, executed, witnessed, sealed, acknowledged, notarized, or delivered; (c). the Insured Mortgage not being properly authorized, created, executed, witnessed, sealed, acknowledged, notarized (including by remote online notarization), or delivered; IMPROVED COVERAGE. Covered Risk 9.c. of the 2021 ALTA Loan Policy clarifies coverage by adding “authorized” and by including remote online notarization in the scope of notarization. Covered Risks 9.c., 9.d., and 9.f. of the 2021 ALTA Loan Policy make it clear that certain aspects of electronic transactions are covered by the policy. (d) failure to perform those acts necessary to create a document by electronic means authorized by law; (d). a failure to perform those acts necessary to create a documentan Insured Mortgage by electronic means authorized by law; SAME. (e) a document executed under a falsified, expired, or otherwise invalid power of attorney; (e). a document having been executed under a falsified, expired, or otherwise invalid power of attorney; SAME. (f) a document not properly filed, recorded, or indexed in the Public Records including failure to perform those acts by electronic means authorized by law; or (f). a document not the Insured Mortgage not having been properly filed, recorded, or indexed in the Public Records, including the failure to performhave performed those acts by electronic means authorized by law; or SAME. (g) a defective judicial or administrative proceeding. (g). a defective judicial or administrative proceeding.; or SAME. h. invalidity or unenforceability of the lien of the Insured Mortgage as a result of the repudiation of an electronic signature by a person that executed the Insured Mortgage because the electronic signature on the Insured Mortgage was not valid under applicable electronic transactions law. BROADENED. This coverage is similar to Covered Risk 9.c. of the 2021 ALTA Loan Policy but also includes “repudiation” of an electronic signature. 10. The lack of priority of the lien of the Insured Mortgage upon the Title over any other lien or encumbrance. 10. The lack of priority of the lien of the Insured Mortgage upon the Title over any other lien or encumbrance. on the Title as security for the following components of the Indebtedness: CLARIFIED COVERAGE. The 2021 ALTA Loan Policy clarifies the coverage to explicitly insure priority of the lien of the Insured Mortgage for the listed components of the