Mortgage Clause

A policy condition providing protection in certain circumstances to the mortgagee in the event that the insured fails to comply with policy.

This is the insurance answer for if the insured fails to pay a premium then the mortgagee may choose to make these payments.

If the insured has failed to comply with certain conditions the mortgagee may still collect in a claim.

It is interesting to note that most mortgage companies will purchase title insurance when they place a mortgage.