Frequently Asked Questions
We think +Plus by ValueInsured provides a great value for consumers interested in protecting their investment in their home. But before you purchase, you should understand what the policy does and does not cover and how much coverage you will have. While this notice describes important coverage highlights, it does not describe every coverage exclusion or other details, which are reflected in the Policy you will receive. You may also download a copy of these disclosures.
For you to receive coverage
- Your home sale must be at least 2 years after your home purchase but no more than 7 years after your home purchase. Historically, Many homes have been sold during that 2- to 7-year period, but yours may or may not be.
- Closing Disclosure Statement must indicate the property is going to be used as a primary residence.
- Your sale must be to an unrelated third party and no leasebacks are allowed.
You will not be covered if
- If you used your home for an illegal purpose
- If your home is sold at foreclosure, transferred by a deed-in-lieu, or taken by eminent domain
How your coverage will be calculated
- Coverage only applies where:
- The sale price of the home is lower than the purchase price, and
- The Federal Housing Finance Administration Home Price Index (the “HPI”) for your home’s state at the time of sale is lower than it was on the date you purchased the home. You can find your state’s HPI at this website. We leverage the All-Transactions Index - States (Not Seasonally Adjusted) version.
- Your pay-out would be the lesser of:
- Your down-payment (up to 20% of home purchase price);
- The actual equity you lost (which is the difference between the price you paid for your home and the price for which you sold it); or
- The purchase price of the home times the reduction in your state’s HPI.
- Examples of how this “lesser of” calculation works are provided below.
- This insurance will not cover:
- Cost of improvements you make to the home
- Prepayments towards the loan balance
- Real estate brokerage and other costs associated with the purchase or sale of the home
Examples of policy payouts
As an example, assume you buy a home for $100,000 and put 20% (or $20,000) down. In 5 years, you decide to sell. The table below shows how your pay-out would depend on the sale price and the change in the HPI. As the table shows, you could have:
No pay-out if you sell at or above the price you paid for the home, or if the HPI for your state has not decreased. These two scenarios are shown with white shading in the table.
A pay-out of less than your down payment if either the sale price or the HPI fell only modestly. Those scenarios appear in light green shading.
A full refund of your down payment if the sale price and the HPI fell by at least 20%. Those scenarios appear in darker green shading.
If you pay for your coverage using a lender credit
- If you pay for your +Plus by ValueInsured coverage through the use of a Lender Credit, your lender may charge you a higher interest rate, which would increase your monthly or other periodic loan payments.
Contact us at email@example.com or 1-844-448-PLUS
Download our Plain English Disclosure for further details