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The Legal Entity Identifier will have an important role in improving consumer protections in the US mortgage market as the US Consumer Financial Protection Bureau (CFPB) adopts new decisions on the reporting of the Mortgage Disclosure Act under Regulation C.

 The Ministry of Housing and Communities in America, and real estate development companies, offer many housing units, whether for middle-income or high-income segments, as well as in various places and a number of new cities. Due to death, disability or default in the event that the investor is a self-employed, according to the following conditions:

Terms of real estate insurance in America

The insurance must be with one of the Egyptian insurance companies licensed by the Authority.

The insurance company pays the insurance amount to the beneficiary based on the investor’s death certificate or a doctor’s certificate of total or partial disability issued by one of the medical authorities determined by the insurance company.

In cases where it is agreed that the investor will bear the value of the insurance, the value of the insurance premium that the investor will bear must be added to the cost of the financing that the investor is obligated to pay to the financier in order to pay it to the insurance company.

In the event that the financier obtains preferential treatment from an insurance company, he must disclose this to the investor.

The insurance premium should be calculated on the debt balance and not on the total financing value.

It is worth noting that the real estate finance activity achieved remarkable activity during 2021, as real estate finance companies granted 8.1 billion in financing to their clients, compared to 3.4 billion in 2020, with a growth rate of 138.2%.

Real estate insurance in America

The LEI initiative was launched in the wake of the 2008 financial crisis, when regulators around the world recognized their inability to identify transaction parties across different markets, products, and regions.

Consequently, the Financial Stability Board (FSB) and the Group of Twenty (G20) have indicated the need for a Global Legal Entity Identifier (GLEI) applicable to any legal entity conducting financial transactions.

Discussions to date regarding the deployment of the LEI system have largely focused on initiatives related to the identification of legal entities in the reporting and regulatory oversight. This reflects the direct objective of applying the LEI standard after the financial crisis, which is to increase the authorities' ability to assess systemic and emerging risks, identify necessary trends, and take corrective steps.