2007 California Insurance Code Article 2. Parties To Contract: Mortgagor And Mortgagee

CA Codes (ins:170-172)

170.  Unless the policy otherwise provides, if a mortgagor of
property effects insurance in his own name providing that the loss
shall be payable to the mortgagee, or assigns a policy of insurance
to a mortgagee, the insurance is deemed to be upon the interest of
the mortgagor and the mortgagor does not cease to be a party to the
original contract.



171.  In case of such a provision or assignment, any act of the
mortgagor, prior to the loss and which would otherwise avoid the
insurance, will have the same effect, although the property is in the
hands of the mortgagee; but any act which, under the contract of
insurance, is to be performed by the mortgagor, may be performed by
the mortgagee therein named, with the same effect as if it had been
performed by the mortgagor.



172.  If an insurer assents to the transfer of insurance from a
mortgagor to a mortgagee, and, at the time of the assent, imposes
further obligations on the assignee, the acts of the mortgagor cannot
affect the rights of the assignee.