Pennsylvania Co. for Insurance on Lives v. Central Trust & Savings Co.

Citations

• 62 Pa. Super. 433
• 1916 Pa. Super. LEXIS 445

Syllabus

<p>Insurance — Title insurance — Completion of building — Subrogation — Mortgage—Release from, lien of mortgage.</p> <p>Where a policy of title insurance covenants to indemnify the owners of a second mortgage, from loss resulting from the non-completion of buildings in a building operation, and also contains a warranty by the parties insured that their rights of subrogation should vest in the insurer unaffected by any act of the insured, the latter may maintain an action for a loss occasioned by a failure to complete the buildings, although the insured have released some of the properties from the mortgage without the consent of the insurer, if no claim is made for a loss resulting from the failure to complete the building of the properties released, and it does not appear that there was an equity in such properties over other liens and encumbrances, or that the releases affected the value of the mortgage.</p>