(1) If a building is insured, then the insurer may not pay the insured sum to the insured with effect in relation to the mortgage creditor until the insurer or the insured has notified the mortgage creditor that the damage has occurred and once one month has passed since the receipt of the notification. The mortgage creditor may, before the expiry of this period, raise an objection with the insurer with regard to the payment. The notification may be omitted if it is inadvisable; in this case the month is calculated from the point in time at which the insured sum becomes due.
(2) Where the mortgage creditor has notified the insurer of their mortgage, the insurer may only pay to the insured, with effect in relation to the mortgage creditor, if the mortgage creditor has given their approval to the payment in writing.
(3) In all other cases, the provisions governing a pledged claim apply; the insurer may not, however, plead that they were unaware of the mortgage evident from the Land Register.