ISSUED BY FINANCIALLY SOUND AND RESPONSIBLE INSURANCE
COMPANIES AUTHORIZED TO DO BUSINESS IN THE STATE AND HAVING A CLAIMS PAYING
ABILITY RATING OF "A"
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OR BETTER BY S&P (OR SUCH OTHER RATINGS APPROVED BY LENDER) AND A GENERAL POLICY
RATING OF "A" OR BETTER AND A FINANCIAL CLASS OF VIII OR BETTER BY A.M. BEST
COMPANY, INC.
TO THE EXTENT SUCH POLICIES ARE NOT AVAILABLE AS OF THE CLOSING
DATE, BORROWER SHALL DELIVER TO LENDER CERTIFIED COPIES OF ALL POLICIES OR OTHER
EVIDENCE OF INSURANCE REASONABLY ACCEPTABLE TO LENDER NOT LATER THAN THIRTY (30)
DAYS AFTER THE CLOSING DATE.
NOT LESS THAN TEN (10) DAYS PRIOR TO THE
EXPIRATION DATES OF THE POLICIES THERETOFORE FURNISHED TO LENDER, RENEWAL
POLICIES OR OTHER EVIDENCE OF INSURANCE REASONABLY ACCEPTABLE TO LENDER
ACCOMPANIED BY EVIDENCE SATISFACTORY TO LENDER OF PAYMENT OF THE PREMIUMS DUE
THEREUNDER (THE "INSURANCE PREMIUMS") SHALL BE DELIVERED BY BORROWER TO LENDER.
(C)
ANY BLANKET INSURANCE POLICY SHALL SPECIFICALLY ALLOCATE TO EACH
PROPERTY THE AMOUNT OF COVERAGE FROM TIME TO TIME REQUIRED HEREUNDER AND SHALL
OTHERWISE PROVIDE THE SAME PROTECTION AS WOULD A SEPARATE POLICY INSURING ONLY
THE APPLICABLE PROPERTY IN COMPLIANCE WITH THE PROVISIONS OF SECTION 8.1(A).
(D)
ALL POLICIES PROVIDED FOR OR CONTEMPLATED BY SECTION 8.1(A),
EXCEPT FOR THE POLICY REFERENCED IN SECTION 8.1(A)(V), SHALL NAME MORTGAGE
BORROWER AS THE INSURED, LENDER AS A "NAMED INSURED" AND MORTGAGE LENDER AS AN
ADDITIONAL INSURED, AS THEIR INTERESTS MAY APPEAR, AND IN THE CASE OF PROPERTY
DAMAGE, BOILER AND MACHINERY, FLOOD AND EARTHQUAKE INSURANCE, SHALL CONTAIN A
SO-CALLED NEW YORK STANDARD NON-CONTRIBUTING MORTGAGEE CLAUSE IN FAVOR OF
MORTGAGE LENDER AND LENDER PROVIDING THAT THE LOSS THEREUNDER SHALL BE PAYABLE
TO MORTGAGE LENDER, AS MORTGAGEE AND LOSS PAYEE.
(E)
ALL POLICIES PROVIDED FOR IN SECTION 8.1(A) SHALL CONTAIN CLAUSES
OR ENDORSEMENTS TO THE EFFECT THAT:
(I)
EXCEPT AS MAY OTHERWISE PROHIBITED BY APPLICABLE LAW, NO ACT OR
NEGLIGENCE OF MORTGAGE BORROWER, OR ANYONE ACTING FOR MORTGAGE BORROWER, OR OF
ANY TENANT OR OTHER OCCUPANT, OR FAILURE TO COMPLY WITH THE PROVISIONS OF ANY
POLICY, WHICH MIGHT OTHERWISE RESULT IN A FORFEITURE OF THE INSURANCE OR ANY
PART THEREOF, SHALL IN ANY WAY AFFECT THE VALIDITY OR ENFORCEABILITY OF THE
INSURANCE INSOFAR AS LENDER IS CONCERNED;
(II)
THE POLICIES SHALL NOT BE MATERIALLY CHANGED (OTHER THAN TO
INCREASE THE COVERAGE PROVIDED THEREBY) OR CANCELED WITHOUT AT LEAST THIRTY (30)
DAYS' PRIOR WRITTEN NOTICE TO LENDER AND ANY OTHER PARTY NAMED THEREIN AS AN
ADDITIONAL INSURED;
(III)
THE ISSUERS THEREOF SHALL GIVE WRITTEN NOTICE TO LENDER IF THE
POLICIES HAVE NOT BEEN RENEWED THIRTY (30) DAYS PRIOR TO ITS EXPIRATION;
(IV)
LENDER SHALL NOT BE LIABLE FOR ANY INSURANCE PREMIUMS THEREON OR
SUBJECT TO ANY ASSESSMENTS THEREUNDER; AND
(V)
THE POLICIES DESCRIBED IN CLAUSES (I), (III) AND (VI) ABOVE DO NOT
CONTAIN AN EXCLUSION FOR ACTS OF TERROR OR SIMILAR ACTS OF SABOTAGE.
(F)
IF AT ANY TIME LENDER IS NOT IN RECEIPT OF WRITTEN EVIDENCE THAT
ALL INSURANCE REQUIRED HEREUNDER IS