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Requirement to Maintain Hazard Insurance Letter

Question: 
In the past we sent a letter annually to our mortgage customers regarding their requirement to maintain hazard insurance on the property they have pledged as collateral. We wanted to check to see if this is still something we need to be sending out each year or if this is something we can do away with? We do now have the Mortgage Blanket policy which covers all collateral including commercial property for hazard insurance. We understand this annual letter is not a Federal regulation, but want to verify it is not required by IN?
Answer: 

by Andy Zavoina: We never sent such a letter to meet any federal requirement. Borrowers were advised of this at closing, we had coverage, and if a policy lapsed it would be addressed at that time. The state forums however, are the best place for state specific questions.

Answer: 

by Dan Persfull: There is no such requirement under IN Statutes.

First published on 09/30/2018

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