A provision in or attached to fire policies covering mortgaged property that defines the mortgagee's rights and privileges under the policy.
A provision attached to a Fire or other direct damage policy that covers mortgaged property, specifying that the loss reimbursement shall be paid to the mortgagee as the mortgagee's interest may appear, that the mortgagee's rights of recovery shall not be defeated by any act or neglect of the insured, and giving the mortgagee other rights, privileges, and duties. For instance, one duty is that the mortgagee must report to the insurer any change in hazards that he becomes aware of.
a clause that may be attached to an insurance policy stipulating that the lender will receive a portion of insurance proceeds sufficient to satisfy the unpaid amount of a loan in the event of a loss
In policies covering mortgaged property, the "mortgage clause" protects the interests of the mortgagee for loss reimbursement and other rights of recovery, regardless of any acts or neglect by the insured.
(Clause d'hypothèque or Clause relative aux garanties hypothécaires) A policy condition providing protection in certain circumstances to the mortgagee in the event that the insured fails to comply with policy conditions.
Property insurance provisions granting protection for the mortgagee named in the policy. It establishes that loss to mortgaged property is payable to the insured and to the mortgagee named in the policy.
A clause in an insurance policy which stipulates the rights and obligations of the insurer and the mortgagee. The main characteristics of this clause are that the mortgagee is granted protection in the event a loss is denied due to the actions of the insured (provided that the mortgagee was not aware of the insured's wrongful action) and, in return, the mortgagee accepts responsibility to advise the insurer of any misrepresentation or change in risk of which the mortgagee is aware.
a provision attached to a fire or other direct damage insurance policy covering mortgaged property reciting that the loss should be payable to the mortgagee as his interests may appear and that his right of recovery shall not be defeated by any act or neglect of the insured and giving the mortgagee other rights and privileges.
