Homeowners insurance lapsed and?

I have a 30 day wait for the new policy to take effect. The problem is now my mortgage co is going to take a fee for their coverage and BILL ME for the two months I was not insured at their rate. Is this legal and can I fight it???

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    7 Responses to “Homeowners insurance lapsed and?”

    1. Bruce says:

      Good luck fighting it. The mortgagor is interested only in protecting its’ investment, which in this case is your house. If it is not insured and burns down, the mortgagor is left holding a piece of land worth considerably less than the loan which was made against the house.

      You will find when reading your mortgage documents, that you are responsible for ensuring the property is insured.

    2. s and d e says:

      yes it’s legal. they issue "force coverage" to protect their interest. if the house burned down in that 2 month time frame–the mortage company would have been left high and dry. it’s just like it you have a vehicle that you have a loan on, if you don’t have insurance–the finance company will roll it into your loan to protect their interest. completely legal

    3. Pinky Love says:

      No you can’t fight it.

    4. mbrcatz says:

      Yes, it’s perfectly legal – you already agreed to it, in writing, up front, when you first took out the mortgage.

      There’s no way to fight something that you’ve ALREADY agreed to, in writing.

    5. Judy says:

      There is almost always a provision in mortgages allowing that if you let your coverage lapse. Read your contract, but if it’s there, no you can’t fight it.

    6. jim g says:

      It’s legit. My question is why does your new insurance not take place for 30 days? I have owned homes in TX, AZ and now NV and never had to wait 30 days.

    7. John says:

      You can fight everything, it is just a matter of how hard you want to try.

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