N.J. Admin. Code § 3:7-2.1
Current through Register Vol. 56, No. 23, December 2, 2024
Banks, savings banks and State associations shall periodically review all fire insurance policies supporting loans secured by mortgages and real estate owned by the bank, savings bank or State association to ascertain if the amount of insurance is sufficient considering present values, especially where the policy contains a coinsurance clause. The bank, savings bank or State association may use other prudent means instead of periodic review, such as obtaining insurance for inadequate coverage, to protect itself from exposure to loss from insufficient insurance coverage on these properties.
N.J. Admin. Code § 3:7-2.1
See: 22 New Jersey Register 2205(a), 22 New Jersey Register 3213(a).
Added language requiring "periodic" reviews and insurance for inadequate coverage.
Amended by R.2000 d.481, effective 12/4/2000.
See: 32 New Jersey Register 3358(a), 32 New Jersey Register 4253(a).
Inserted references to State associations throughout.