Policy Structure & ProvisionsQuestion 468 of 474
Under the loss payment condition, the insurer adjusts a covered loss with, and pays:
a.The mortgagee alone on any property loss
b.The named insured, unless another is named
c.The contractor who repaired the property
d.Any resident of the household who claims
Explanation
The insurer adjusts losses with the named insured and pays the named insured unless some other person is named in the policy, such as a mortgagee or loss payee, or is legally entitled to receive payment. A repair contractor has no claim against the policy and must look to the insured, and a household resident is not automatically the payee even where that person is an insured for coverage purposes.
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