The lender of mortgage funds. This lender has to be named on the homeowner or commercial insurance policy to show that they have an interest in the property.

This mortgagee will also be shown on the title document.

There is protection within the insurance wordings for the interest of the mortgagee. The mortgagee can make payments on the insurance policy if the mortgagor defaults. The mortgagee can still be paid under a claim if the mortgagor misrepresents him/herself and cannot collect in a claims situation.

Talk to your insurance agent or broker about the rights of the mortgagee and the mortgagor.