VacationGuarantee provides insurance coverage for mortgage loan payments before the payment becomes delinquent due to death, disability or involuntary unemployment.  The insurance contract is written to provide a �Purchase Protection�  for the resort purchaser.  The premium amount is pre-funded by the developer at the close of escrow, and the pricing is around two percent of the loan amount according to underwriters.  The Purchase Protection coverage can be used in both fractional sales and club points based products.

In addition to insuring the mortgage, VacationGuarantee works as a sales tool for the development company and increases the credit strength of the mortgages portfolio.  Marketing surveys done by independent marketing firms indicate that the closing ratios could increase five to ten points with VacationGuarantee as part of the initial offering.  �The timeshare sales presentation has to help the consumer justify the investment in the interval vacation purchase.  By providing insured protection in the event of a hardship loss the sales company is demonstrating the value of their vacation offering.  When the economy begins to tighten the value of this coverage will really show be illustrated by a lower number of delinquent and defaulted loans� says Jeff Post, President of J.J. Post Company, the Los Angeles based Managing Agent for Golden Pacific Insurance.

TravelGuarantee, a customized travel insurance program, is the second program developed with specific coverage for vacation ownership.  The package will not only provide insurance for trip cancellation and delay but also for standard coverage�s of travel insurance.  Unique to the portfolio of travel products is a program designed specifically for the �drive to� market in the event of automotive breakdown. Coverage includes travel delay coverage with rental car and expenses while the traveler is waiting for the car to be fixed.  This product offers development companies who handle travel arrangements for their owner base an excellent way to build customer loyalty.  TravelGuarantee becomes a private labeled program for the resort company.  All Golden Pacific programs are dividend oriented so that the development company participates in their underwriting profit.