TORONTO, May 24, 2005 (PRIMEZONE) -- Reliant Home Warranty Corporation (OTCBB:RHWC), a provider of Home Equity and Fractional Mortgage protection programs, announced today that it has entered into a Letter of Intent with a major global insurance carrier to provide insurance / reinsurance for its programs. The insurer holds ratings of A+ (Strong) by Fitch Ratings and A (Excellent) by A.M. Best.
Reliant markets its proprietary Home Equity and Fractional Mortgage protection programs (which offer consumers the opportunity to access interest only and fractional loan to value mortgage products) through its Mortgage Lending Partnership network of approved private mortgage lenders. The strategic insurance partnership announced will enable Reliant's Mortgage Lender Partners to include Reliant's Home Equity and Fractional Mortgage protection programmes in their mortgage portfolios.
Reliant believes the programs could produce net premium due to Reliant of $3,000,000 for each 1 billion of total property values insured.
Kevin Hamilton, CEO of Reliant said, "Reliant values its strategic partnership with an A+ rated Fitch insurance company and to this end will ensure its unwavering commitment to the underwriting criteria established by our insurance partner."
The issuance of any policy by the insurer is subject to final documentation by the parties and regulatory approval.
For more information on the Reliant Mortgage Program, visit the website at www.relianthwc.com
This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934. Any statements that express or involve discussion with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical facts may be forward-looking statements. Forward-looking statements are based on expectations, estimates and projections at the time the statements are made to involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. For a summary of such risks and uncertainties, see the Company's periodic reports and other filings with the Securities and Exchange Commission.
FOR FURTHER INFORMATION