Mortgages Act, 1972 N.R.C.D. 96
Section 11:
(1) Both the mortgagor and the mortgagee have an insurable interest in the mortgaged property.
(2) Unless a contrary intention appears expressly or by necessary implication,
(a) where the mortgagor has covenanted to insure all or a part of the mortgaged property and fails to do so as required by the terms of the mortgage, the mortgagee is entitled, after giving notice in writing to the mortgagor, to insure and keep insured the mortgaged property against loss or damage by theft, fire, earthquake or any other natural disaster; and
(b) the premiums paid by the mortgagee for the insurance shall be secured with the same priority as the mortgage and, where the mortgage secures payment of money, shall be added to the principal sum of money with interest at the same rate as on the principal sum of money.
(3) Unless a contrary intention appears expressly or by necessary implication, where the mortgagor has covenanted to insure all or a part of the mortgaged property and the insurance has been effected by the mortgagor, or on behalf of the mortgagor by the mortgagee, the money received on the insurance shall be applied in making good the loss or damage in respect of which the money is received unless the mortgagor elects to apply all or a part of it toward the performance of the act secured by the mortgage.
Procedure to Follow
Not Avaiable
Responsible Institution
28th February Road, Finance Drv, Accra
- Email: info@mofep.gov.gh
- Website: www.mofep.gov.gh
- GPS: GA-144-2024
- Telephone: +233 302 747 197
Relevant Forms to Download
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Online System
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Fees/ charges
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