Scottish Union & National Insurance v. Colvard

Mrs. L. E. McCroskey (hereinafter called the assured) executed to the Security Investment Company (hereinafter called the lender) three promissory notes of $1,000 each, to secure a loan from that company to her on a farm, with a dwelling thereon, owned by her. While the loan was in force, Mrs. Mc-Croskey insured the dwelling for $1,500 with the Scottish Union & National Insurance Company (hereinafter called the. insurer, or insurance company). By the terms of the policy any loss thereunder was made payable to the lender, for itself or as agent for its assigns. One of the provisions of the…