Mortgagee Clause, Named Insured and Notice of Cancellation Requirements

Mortgage Clause for Property and Flood Insurance

The following requirements apply to individual property and flood insurance policies maintained by the borrower and do not apply to master property and flood insurance policies for project developments.

Homium, followed by the phrase "its successors and/or assigns," and mailing address must be shown as the mortgagee.

Since the mortgage is registered with MERS and is originated naming MERS as the original mortgagee of record, MERS must not be named as mortgagee or loss payee on any property insurance policy.

The following table provides additional requirements for mortgagee clauses.

One- to four-unit property

The applicable insurance policy must include (or have attached) a "standard" or "union" mortgagee clause (without contribution) in the form customarily used in the area in which the property is located. A loss payable clause in lieu of a mortgagee clause is not acceptable.

Unit in a project development

If a unit owner or shareholder maintains an individual property insurance policy (as indicated by the project's legal documents) or if an individual property insurance policy is required in accordance with Determining if a Master Property Insurance Policy is Required in Master Property Insurance Requirements for Project Developments for interior coverage, it must include the standard mortgagee clause as defined above. If an individual flood insurance policy is required in accordance with Requirements for Project Developments in Flood Insurance Requirements for All Property Types, it must include the standard mortgagee clause as defined above. A mortgagee clause naming Homium is not required for a master property insurance policy, an NFIP RCBAP, or equivalent master flood insurance policy issued by a private insurer.