Common use of Release of Insurance Funds Clause in Contracts

Release of Insurance Funds. Lender shall have the right to apply the Insurance Funds to payment of Insurance Premiums (and, at Borrower’s request, which shall be made not later than ten (10) days prior to the date the applicable payment of Insurance Premiums is due, Lender shall apply the Insurance Funds to such payment of Insurance Premiums, provided that no Event of Default has occurred and is continuing). In making any payment relating to Insurance Premiums, Lender may do so according to any xxxx, statement or estimate procured from the insurer or its agent, without inquiry into the accuracy of such xxxx, statement or estimate. If the amount of the Insurance Funds shall exceed the amounts due for Insurance Premiums, Lender shall, in its sole discretion, return any excess to Borrower or credit such excess against future payments to be made to the Insurance Funds. Any Insurance Funds remaining after the Debt has been paid in full shall be returned to Borrower. In the event Lender releases an Individual Property (or assigns the Mortgage encumbering such Individual Property) as a result of the exercise of Borrower’s rights under Section 2.4 or Section 2.5 hereof, Lender shall direct Agent, and Agent shall, promptly following the release of the Lien of the Mortgage (or the assignment of the Mortgage) with respect to such Individual Property, deliver, or cause the delivery, to Borrower from the Insurance Funds an amount equal to the Insurance Funds deposited by Borrower into the Insurance Account with respect to such Individual Property (to the extent such Insurance Funds are in excess of the Insurance Funds that will be required to be reserved in the Insurance Account with respect to the Property (excluding such Individual Property)).