The above recitals are incorporated into this section of the chapter
as if fully set forth at length herein.
No insurance company may pay to any claimant any claim in excess of
$2,500 for damages on any real property located within the Township of Mullica,
pursuant to any fire insurance policy issued or renewed after the adoption
of this chapter and the filing of the same with the State Commissioner of
Insurance, until such time as any anticipated demolition costs and all taxes,
assessments and all other municipal liens or charges due and payable regarding
said have been paid either by the owners of such real property or by the insurance
company pursuant to the provisions of this chapter and N.J.S.A. 17:36-8 et
seq.
This chapter further authorizes the Township Clerk to forward a copy
of this chapter to the State Commissioner of Insurance so that the same may
be kept on file and published as set forth in statute by said State Commissioner
of Insurance and further, no amendment may be made to this chapter without
filing a copy of such amendment with said State Commissioner of Insurance.
A municipal claim made in accordance with the provisions of this chapter
shall be paramount to any other claims on the proceeds of the fire insurance
policy, except the claim of the holder of a purchase money mortgage held as
a first mortgage or an institutional lender which is a holder of a mortgage
on the fire damaged property, and the fire insurance policy at the time of
the loss listed the mortgagee as the holder of an insurable interest, in which
event the claim of the mortgagee to the proceeds shall be paramount to the
municipal lien under this act only to the extent of the amount due and payable
to the mortgagee under the mortgage contract. As used in this section, "institutional
lender" means any state or federally chartered bank, savings bank, savings
and loan association or insurance company.