Progressive Home Insurance Mortgagee Clause Change

Progressive Home Insurance’s mortgagee change is a big deal that affects many home insurance policies. Your policy states one set of terms, but the way it is written leaves room for Interpretation. This can lead to minor annoyances or major problems with your new home, which is why a change needed to be made.

Progressive Home Insurance Mortgagee Clause Changes

We’ve previously written about the many benefits of a mortgagee clause in a homeowner’s policy. Recently, there have been some changes to the language of this clause that could impact those who have one. Let’s take a look at what these changes are, and how you can protect yourself if you’re affected. First and foremost, the new language makes it clear that the mortgagee clause does not absolve the insurance company from any legal responsibility that may come along with subrogating on your behalf. This means that if there is a lawsuit filed against you because of a claim made by someone else on your behalf, your insurance company could be held responsible. Secondly, the language now requires that you notify the insurance company of any changes to your personal information, including address and contact info. This makes sure that your policy remains up-to-date and protects you should something happen to this information. If you have a mortgagee clause in your homeowners policy, it’s important to keep an eye on these changes so that you stay protected in case anything goes wrong.

For more information

Property insurance providers are under pressure to change the way they calculate mortgagee clauses. The mortgagee clause is a provision of your policy that protects the insurer from being responsible for damage or loss to your property in the event you or someone you associate with does not meet their obligations on the property. In many cases, the mortgagee clause will cover the insurer from liabilities arising from things such as unpaid rent, bills and legal proceedings. Many insurers have been lobbying for changes to the way mortgagee clauses are calculated, in order to make them more favourable to them. Some insurers have argued that the current methodology unfairly burdens them with a disproportionate number of claims relating to properties where mortgagees are responsible for paying off the mortgage. They claim that this disproportionately high level of liability is leading some providers to drop coverage for these types of properties altogether. It is important to note that any changes made to the way mortgagee clauses are calculated will have a significant impact on both property insurance premiums and policyholder finances. If you are concerned about how this issue might affect your policy, speak to your provider about their proposals.

Conclusion

progressive home insurance mortgagee clause change Progressive Home Insurance has announced that it will be changing its mortgagee clause. The new policy will give borrowers more protection in the event of a foreclosure, and should make refinancing easier for those who are already insured by Progressive.