It is noted and agreed that the property insured by this Policy has been mortgaged with bank ……………. and that in consequence thereof, it has been agreed with the said mortgagee and the Insured, that in case of loss, if any, payable under this Policy any payment up to the amount to which the said mortgagee is entitled for principal, interest accrued and costs shall be made to the said mortgagee without prejudice to the rights the Insured may have on the difference.

This clause to be null and void on receipt of advice from the said mortgagee that they are no longer interested in the property insured under this Policy.


Dengan ini dicatat dan disetujui, bahwa harta benda yang dipertanggungkan dalam Polis ini telah diagunkan pada Bank ……, ……………………….. dan oleh karena itu, telah disetujui oleh Pemegang Agunan tersebut dan Tertanggung, bahwa dalam hal terjadi kerugian yang dijamin oleh Polis, jika ada, setiap pembayaran ganti rugi sampai sejumlah yang menjadi hak Pemegang Agunan berupa uang pokok pinjaman, bunga yang terhutang dan biaya bagi Pemegang Agunan tersebut tanpa mengabaikan hak-hak yang mungkin masih dimiliki Tertanggung atas selisihnya.

Klausula ini menjadi batal dan tidak berlaku lagi pada saat ada pemberitahuan dari Pemegang Agunan tersebut, bahwa mereka sudah tidak memiliki kepentingan lagi atas harta benda yang dipertanggungkan dibawah Polis ini.

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3 Comments on “BANKERS CLAUSE”

  • Ajay Mathur wrote on 26 July, 2018, 15:30

    In a general insurance policy to cover risks of insured’s movable assets there is a provision for ” Bank Clause” to protect the interest of bankers.

    Please clarify whether Bank Clause is a charge or creation of any kind of security interest in favour of banker and whether claim payable under the policy can be treated as security by bank. Please clarify.

  • Kan wrote on 18 September, 2018, 16:47

    @Ajay Mathur

    let me allow to answer your question. Yes, bank clause is to protect interest of bank and it is treated as security by bank.
    When bank give a loan the step of repayment source is as follows: repayment from debtor, if debtor bancrupt then bank will sell the property of the debtor (mortgagee agreement), if the property is lost or damage, then bank chase insurance payment to recover the loan repayment.


  1. Axis Mortgagee Clause | C Mortgages

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