Foreclosure

February 14, 2017

How does a Foreclosure Impact One’s Insurable Interest in Property

In Conyers v. Balboa Insurance Company, the United States District for the Middle District of Florida was asked to decide how does a foreclosure impact one’s insurable interest in property.  In that case, the Conyers sought to recover from the Balboa Insurance Company (“Insurance”) money for damage caused to their property by a sinkhole.  Under the Conyers’ mortgage, there was a condition that required them to carry hazard insurance.  When they failed to do this, the Mortgage Servicer bought a lender-placed insurance policy (“Policy”) at the Conyers’ expense.  The Policy named the Mortgage Servicer as the named insured and the […]