Common Clauses Flashcards
1
Q
Clauses are the words or paragraphs in a policy or endorsement which describes some specific limitation or modification
A
Common Clause
2
Q
This clause tells us that somebody other than the insured has a financial interest in the property insured
A
Loss payable clause
3
Q
Agreement between bank and insurance company. The bank will get their money even if the insured had breached Statutory Conditions
A
Mortgage Clause
4
Q
Mortgagee
A
Bank
5
Q
Mortgagor
A
Insured
6
Q
Mortgagees responsibilities
A
Mortgagee must notify insurer if:
- unoccupied or vacant greater then 30 days
- Change of ownership
- Increased hazards
7
Q
Amount of each loss insured agrees to pay. This helps to reduce premium
A
Deductible
