What is a Mortgagee Clause?
A mortgagee clause is simply how the lender wants their name and address to appear on legal documents. I shouldn't say simply, because lenders are very picky to make sure everything is perfect, and some have several different mortgagee clauses for insurance, title work, and a CPL. Typically the insurance company and title or escrow company will need the mortgagee clause information to record who has the lien. It is not anything a consumer need to be worried about, but if they are asked, then just contact your Broker or lender and tell them who needs it.
It is kind of the same thing as when you get a new car, and you call your insurance company, and they ask you who the lender is. Basically, they want to know who has ownership interest in the car they are insuring.
A Mortgagee Clause is an attachment to your hazard insurance that protects the lenders claim on the property.
You are likely asking this question because your insurance agent has asked for your lender to send over the mortgagee clause. What they are looking for is a document that contains information about the lender, and about your loan.
The document will be generated by your lender, and sent to your agent. As a borrower, it is not a peice of the puzzle you will need to worry about. Provide your lender with your insurance agent's name and contact information, and they will send your agent the appropriate document.