standard mortgage clause

0.01 sec.

A clause in a fire and casualty insurance policy providing additional coverage for the mortgage lender and also providing that the lender's rights to recover proceeds will not be compromised if the borrower is guilty of wrongdoing relative to the insured loss.Also called a union mortgage clause.Contrast with an open mortgage clause.

Example: Ted cannot make his mortgage payments and fears foreclosure, so he burns down his house to collect the insurance proceeds. Unfortunately, his neighbor saw the whole thing and alerted the police. Ted will not be able to collect any insurance money, but his mortgage lender will because it was not involved in the wrongdoing.

Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content.

?Page tools

Printer friendly
Cite / link

Feedback
Add definition

Mentioned in	?		References in periodicals archive	?		Financial browser	?		Full browser	?
union mortgage clause			Interestingly, the union or standard mortgage clause is a type of clause that creates an independent contract between the insurance company and the lender. The fine print of insurance coverage: given the challenging market ... by Wright, Heather A.; Shugrue, John D.; Smuckler, Gary S. / Mortgage Banking			Stamp Tax Stand up to Stand-Alone Company Stand-Alone Principle Standard & Poor's Standard & Poor's 100 Stock Index Standard & Poor's 400 Stock Index Standard & Poor's 500 Index Standard & Poor's 500 Stock Index Standard & Poor's Confidence Indicator Standard & Poor's Depositary Receipt Standard & Poor's MidCap 400 Index Standard & Poor's Midcap Index Standard & Poor's SmallCap 600 Index Standard & Poor's Underlying Rating Standard & Poor's/Citigroup Growth and Value Indexes Standard & Poor'sr Standard Deduction standard depth Standard Deviation Standard Error Standard Industrial Classification Standard Industrial Classification Code Standard Industrial Classification System standard metropolitan statistical area standard mortgage clause standard of care Standard Opinion standard practices of the trade Standardized Normal Distribution Standardized Value Standby Agreement standby commitment standby fee standby letter of credit Standby Underwriter Standby Underwriting standing standing timber Standstill Agreement Stanza di compensazione stapled stock Starker transaction Start-Up Start-Up Company starter castle starter home starts State Administrator State Agent State and Local Government Series			Standard Missile Company Standard Missile Echo Unit Standard Missile Vehicle Launcher Standard Missile-1 Standard Mixed Cargo Harness Standard Mixed Lymphocyte Reaction Test Standard ML Standard ML (programming language) Standard ML of New Jersey Standard ML of NJ Standard Mobile Imaging Architecture Standard Mode Standard Mode of Dress standard model standard model standard model Standard Model Extension Standard Model Feature Standard Model of Cosmology Standard Model of Particle Physics Standard Modular Avionics Repair and Test Standard Modular Multiplication Standard Modulated Gaussian Beam Standard molar volume Standard molar volume Standard Monitoring Framework standard mortality ratio standard mortgage clause Standard Mortgage Corporation of Georgia Standard Mortgage Insurance Agency Standard Motor Club Standard Motor Open Cockpit Standard Multilayer Image Standard Multilayer Software Image Standard Multimedia Scripting Language Standard Multiple Application Regulation Topology Standard Multiuser Small Computer Requirements Contract Standard Munitions Standard Music Description Language Standard NAF Standard Name Line Standard NASA Payroll and Personnel standard NATO data message Standard Navy Altimetry Processing System Standard Navy Altimetry Record Standard Navy Desktop Computer Standard Navy Distribution List Standard Navy Distribution List & Catalog of Naval Shore Activities Standard Navy Stock List Standard Navy Stock Number Standard Navy Valve Yard Standard Network Access Protocol

Financial Dictionary

Free Tools:	For surfers: Free toolbar & extensions \| Word of the Day \| Help For webmasters: Free content \| Linking \| Lookup box \| Double-click lookup

Disclaimer
All content on this website, including dictionary, thesaurus, literature, geography, and other reference data is for informational purposes only. This information should not be considered complete, up to date, and is not intended to be used in place of a visit, consultation, or advice of a legal, medical, or any other professional.