Can you Refinance your Home with an Open Homeowner’s Insurance Claim during Covid-19?
Covid-19 has affected nearly every household across the nation, financially. And, if you are among the many that have been financially affected, you ideally want the elected representatives to resolve the economic climate, like yesterday! Unfortunately, we may not see the light at the end of the tunnel just yet. Fortunately, however, one positive result from covid-19 are that the interest rates have continually remained and still continue to remain historically low. So, with this in mind, you may be considering refinancing your mortgage.
Your Rights and Duties Under a Lender Placed Insurance Policy
A “lender placed policy” or “force-placed policy” is insurance coverage put in place by your mortgage company or lienholder when you have not purchased insurance for your home. In the event your home experiences a loss, such as damage caused by a storm, a pipe leak, or a fire, a lender-placed policy may not provide the protection you would expect from a standard homeowners policy.