MORTGAGEE

Subject to all other terms of the policy to which this endorsement is attached, you and we agree that this endorsement is a part of the policy when it is designated in the Declarations and you pay any premium due. Any term in the policy in conflict with any provision in this endorsement shall be of no effect and inapplicable.

As used in this clause "mortgagee" includes a lender secured by deed of trust or mortgage, trustee, loss payee, secured creditor, or their successors or assigns. “Mortgagee” does not include a vendor under a land contract or lease/purchase contract or other similar instrument.

The provisions of REPORTING A CLAIM OR LOSS and DUTIES OF ALL INSUREDS, ALL PERSONS, AND ENTITIES SEEKING COVERAGE, AND ALL DESIGNEES apply to the mortgagee.

If a person or entity is named as a mortgagee in the Declarations, any total loss payable under this policy shall be paid to the mortgagee shown in the Declarations or any assignee known to us, and to the insured according to the respective interests of each, in accordance with the terms of this policy. If more than one mortgagee is named, the order of payment shall be the same as the order of priority of the mortgagees shown in the Declarations. If we deny an insured'sclaim, that denial shall not apply to a valid claim of the mortgagee, if the mortgagee:

1. 1. pays any premium due if the insured fails to do so; and
   2. has notified us prior to loss of any breach of warranty, commencement of foreclosure, or filing of bankruptcy, change of ownership, occupancy, or other substantial change of risk of which the mortgagee was aware prior to loss; and
   3. furnishes a complete, signed, sworn proof of loss within sixty (60) days of being notified to do so.

We shall give the mortgagee at least 10 days notice before we cancel this policy.  Proof of mailing or electronic transmission shall be sufficient proof of notice.

If we pay the mortgagee for any loss and deny payment to you or any other insured:

1. 1. we are subrogated to all the rights the mortgagee granted under the deed of trust or security agreement; or
   2. at our option, we may pay the debt to the mortgagee.  In this event the mortgagee shall assign to us the mortgage and all securities held as collateral to the debt.

Subrogation or assignment shall not impair the right of the mortgagee to recover the full amount of the mortgagee's claim.

REPORTING A CLAIM OR LOSS

DUTIES OF ALL INSUREDS, ALL PERSONS, AND ENTITIES SEEKING COVERAGE AND ALL DESIGNEES

FAILURE TO COMPLY WITH THESE NOTICE AND DUTY REQUIREMENTS MAY RESULT IN DENIAL OF COVERAGE UNDER THIS POLICY.

Written Notice to Us After a Loss

Any insured, or any person and entity seeking coverage under this policy must give us written notice of the loss as soon as possible.  The notice must state in English:

1. 1. the name, address, and telephone number;
   2. the name and address of each insured and person and entity involved in the loss;
   3. the name and address of each witness; and
   4. the facts of the loss, including the hour, date, and place.

Notice to Us of Claim or Suit

If a claim is made or suit is brought against any insured, person or entity who claims coverage under this policy, they must at once send us every demand, notice, summons, legal process, or other legal paper received.

Duty to Cooperate with Us

Following any loss, claim or suit, all insureds, all persons, and entities seeking coverage under this policy, and alldesignees, must:

1. cooperate with us and anyone we name in the investigation, settlement, or defense of any loss, claim or suit;
2. answer questions in person, under oath in Tennessee when asked by anyone we name, as often as we ask, while being videotaped and/or audiotaped, when requested, and sign before a notary public, and return the transcript of the answers;
3. promptly provide us with, allow us to copy, and give us written authorization to obtain all information, financial records, bank records, and other documents, tangible items, any other records, tax returns, receipts, and invoices which we may request;
4. as soon as possible make a report to the police if damage or loss is caused by vandalism, malicious mischief, or theft, and notify the credit card company or bank if the loss involves a credit card or bank  transfer card;
5. notify the mortgagee, its successors and or assigns of the loss;
6. permit us and anyone we name to inspect and appraise the damaged property as often as we require before altering, repairing, or disposing of the damaged property; and
7. make a list of all damaged or stolen property showing in detail the quantity, purchase price, date and place of acquisition, actual cash value, replacement cost, and amount of loss claimed and attach to such list all bills, receipts, and related documents that substantiate the figures in the list; and
8. send to us within 60 days after loss, the list set forth in 7. above and a complete sworn proof of loss signed and sworn to by the person or entity seeking coverage which includes:

1. 1. 1. the time and cause of loss;            
      2. the interest of all persons or entities in the property involved;
      3. the actual cash value and replacement cost of the property and the amount of loss claimed;
      4. all encumbrances on the property;
      5. all other insurance which may cover the loss;
      6. changes in title, use, occupancy, or possession of the property during the policy period; and
      7. any plans, specifications, and appraisals of the damaged or stolen property;

9. send to us receipts for additional living expenses incurred; 
10. send to us records pertaining to any loss of rental income and supporting the fair rental value loss;
11. submit to medical examinations by physicians we select at our expense and as often as we reasonably require; and
12. give us written authorization to obtain medical records and reports.

Responsibility for Designee

You are responsible for the act or omission of your designee relating to this policy and to ensure that person’s or entity’s conduct is compatible with the terms of this policy. Your coverage may be denied for the conduct of a designeepersonally or in a representative capacity if that conduct by you could result in denial of coverage under this policy.

All other terms of the policy remain unchanged.

TF43A (04/2012)