NLIC.org

Scott Said:

Is it normal for home owner's insurance to send the check to the deed holder and not the insurance holder?

We Answered:

If they bought your mortgage, then yes, this is standard. If you had a regular mortgage, then your regular bank would be doing the same thing.

YOU do not get the cash, unless your house is completely paid for, and owned by you. Which it isn't.

What they are doing, is standard, and legal. Your free advice, is going to come from your insurance adjuster. YOU are required to send progress reports to the mortgagee to release the funds to your contractor - but your contractor should also be willing to do it on your behalf.