Town of Secaucus, NJ Chapter 81 Insurance

[HISTORY: Adopted by the Mayor and Council of the Town of Secaucus: Article I, 2-26-80 as Ord. No. 80-11. Amendments noted where applicable.]

Article I Fire Insurance Claims

[Adopted 2-26-80 as Ord. No. 80-11]

§ 81-1 Conditions for payment of claims.

A. No insurance company authorized to issue fire insurance policies in the State of New Jersey shall pay any claims in excess of $2,500 on any real property located in the town unless:

(1) The town issues to the insured an official certificate of search for municipal liens pursuant to N.J.R.S. 54:5-12 certifying that all taxes, assessments and other municipal liens and charges levied and assessed and due and payable against the property covered by such insurance policy have been paid, and which certificate is submitted to the insurance company by the insured; or

(2) The town submits to the insurance company a certified copy of a resolution duly adopted by the Mayor and Council approving an agreement between the town and the owner of the insured property in which said owner agrees to pay in full all delinquent taxes, assessments and other municipal liens by installments pursuant to N.J.R.S. 54:5-19 or for the redemption of the tax sale lien by installment payments pursuant to Article 7 of Chapter 5 of Title 54 of the New Jersey Revised Statutes (N.J.R.S. 54:5-65 to N.J.R.S. 54:5-76). No such resolution approving such agreement shall be adopted unless said owner shall agree, in writing, to use the proceeds from the policy to restore or improve the fire-damaged property.

B. Upon receiving a certified copy of the aforesaid resolution, the insurance company is authorized to make full payment of the claim to the insured person.

C. The official certificate of search required by Subsection A(1) above may, from time to time, be amended by the authorized official of the town in order to correct any errors or omissions or to add any municipal liens or related charges due and payable subsequent to the preparation of the original office certificate.

§ 81-2 Payment by insurance company to town.

If the insurance company does not receive an official certificate of search showing that all taxes, assessments and other municipal liens and charges have been fully paid or a certified copy of the resolution mentioned in § 81-1A(2) of this Article, then the insurance company is hereby authorized and required, prior to payment of any claims for fire damages which are in excess of $2,500 to the owner of property in this town, to pay to the town the amount of the liens appearing on said official certificate and such other recorded liens and related charges as may be certified to the insurance company.

§ 81-3 Fire insurance policies subject to provisions.

All fire insurance policies covering real property to the town shall be subject to the provisions of this Article as though fully set forth in each policy of fire insurance.

§ 81-4 Report to Tax Collector.

A. The Director of Public Safety shall cause a written report to be issued and filed with the Tax Collector as to each fire occurring in the town containing the following information:

(1) Address of the property whereon the fire occurred.

(2) Name of the fire insurance company insuring the property if it can be ascertained.

(3) Approximate estimate of the cost of the damages of the realty, if it can be ascertained.

B. Said report shall be filed with the Tax Collector immediately after each fire no matter how much the amount of the damage caused by the fire. Upon receipt of the report of the Director of Public Safety, the Tax Collector shall cause to be made an official search of all taxes, assessments and other municipal liens and charges and shall issue an official certificate of all such liens or charges which are due and payable. Said collector shall then submit said certificate to the insurance company involved. In the event that the Director of Public Safety shall not be able to ascertain the name and address of the fire insurance company, it shall be the duty of the Tax Collector to ascertain such information.

C. The Tax Collector shall install a clerical system for the issuance of supplemental certificates and the submission of the same to the insurance company, setting forth on such supplemental certificates any additional taxes or other municipal charges which have become due and payable subsequent to the issuance of the original certificate. Supplemental certificates shall be issued immediately as each new charge becomes due and payable.

§ 81-5 Filing of provisions.

The Town Clerk is hereby directed to file a certified copy of this Article with the New Jersey Commissioner of Insurance immediately upon adoption.