Elias v. FIREMEN'S INS. CO. OF NEWARK, NJ.

Toal, Justice:

Henry Elias (“Elias”) appeals the order of the Master in Equity finding that the Firemen’s Insurance Company of Newark, New Jersey (“Insurer”) effectively cancelled the homeowner’s insurance policy on his house and alternatively, the policy lapsed. We reverse.

FACTS

When Elias purchased his house, Standard Federal was the mortgagee. An escrow fund was established to pay the homeowner’s insurance and taxes on the property. Elias purchased the original homeowner’s insurance policy from Elliott-Ariail Agency, a wholly-owned subsidiary of Standard Federal.

In November 1985, Bucky Grice…