New Pennsylvania bill prohibits mandatory property insurance on value of land MortgagePress.comPennsylvania HB 2428, property insurance coverage, real property
Pennsylvania House Bill 2428 became effective on July 4,
The legislation prohibits a lender from requiring a borrower, as
a condition of obtaining or maintaining a secured loan, to obtain
property insurance coverage exceeding the replacement value of
buildings and structures situated on the land used to secure the
loan. Additionally, the legislation provides that a borrower on a
loan secured by real property may not be required to insure the
value of the land.
The legislation, though in effect, has not yet been
here to view a copy of HB 2428.