A clause making the proceeds payable to a named mortgagee, as interest may appear, and stating the terms of the contract between the insurer and the mortgagee.

A provision on a homeowners insurance policy that lists any lenders, or mortgagees, on a home. Should the insured void the policy by some act, such as arson, this clause can help protect the lender's investment.

Protects the interest of the mortgagee under property insurance by paying to him up to the value of his interest in the event of a major claim