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<br />All insurance policies required by Lender and renewals of such policies shall be subject to Lender's right to
<br />disapprove such policies, shall include a standard mortgage clause, and shall name Lender as mortgagee
<br />and/or as an additional loss pay�. Lender shall have the right to hold the policies and renewal certificates. If
<br />Lender requires, Borrower shall promptly give to Lender all receipts of paid premiums and renewal notices.
<br />If Borrower obtains any form of insurance coverage, not otherwise required by Lender, for damage to, or
<br />destrucrion of, the Property, such policy shall include a standard mortgage clause and shall name Lender as
<br />mortgag� and/or as an additional loss pay�.
<br />In the event of loss, Borrower shall give prompt norice to the insurance cazrier and Lender. Lender may
<br />make proof of loss if not made promptly by Borrower. Unless Lender and Bonower otherwise agree in
<br />writing, any insurance proceEds, whether or not the underlying insurance was required by Lender, shall be
<br />applied to restoration or repair of the Property, if the restoration or repair is economically feasible and
<br />Lender's s�urity is not lessened. During such repair and restoration period, Lender shall have the right to
<br />hold such insurance proceeds until Lender has had an opportunity to inspect such Properiy to ensure the
<br />work has been completed to Lender's satisfacrion, provided that such inspection shall be undertaken
<br />promptly. Lender may disburse proceeds for the repairs and restoration in a single payment or in a series of
<br />progress payments as the work is completed. Unless an agreement is made in writing or Applicable Law
<br />requires interest to be paid on such insurance proceeds, Lender shall not be required to pay Bonower any
<br />interest or earnings on such proceeds. Fe�s for public adjusters, or other third parties, retained by Borrower
<br />shall not be paid out of the insurance proceeds and shall be the sole obligation of Borrower. If the restoration
<br />or repair is not economically feasible or Lender's security would be lessened, the insurance proc,eeds shall be
<br />applied to the sums secured by this 5ecurity Instrument, whether or not then due, with the excess, if any,
<br />paid to Borrower. Such insurance procee�is shall be applied in the order provided for in S�rion 2.
<br />If Borrower abandons the Property, Lender may file, negotiate and settle any available insurance claim and
<br />related matters. If Borrower does not respond within 30 days to a norice from Lender that the inc��,�„ce
<br />carrier has offered to settle a claim, then Lender may negotiate and settle the claim. The 30-day period will
<br />begin when the norice is given. In either event, or if Lender acquires the Property under S�tion 22 or
<br />otherwise, Bonower hereby assigns to Lender (a) Borrower's rights to any in��rance proceeds in an amount
<br />not to exc.e�d the amounts unpaid under the Note or this Se�urity Instrument, and (b) any other of
<br />Borrower's rights (other than the right to any refund of uneamefl premiums paid by Bonower) under all
<br />insurance policies covering the Property, insofar as such rights aze applicable to the coverage of the
<br />Properly. L.ender may use the insurance procee�is either to repair or restore the Property or to pay amounts
<br />unpaid under the Note or this Securiry Instrument, whether or not then due.
<br />6. Occupancy. Bonower shall occupy, establish, and use the Property as Bonower's principal residence
<br />within 60 days after the ex�ution of this S�urity Instrument and shall continue to occupy the Properly as
<br />Borrower's principal residence for at least one year after the date of accupancy, unless Lender otherwise
<br />agreES in ovriting, which consent shall not be unreasonably withheld, or unless extenuating circumstances
<br />exist w�ich are beyond Borrower's control.
<br />7. Preservation, Maintenance and Protection of the Property; Inspections. Bonower shall not d�t.roy,
<br />daznage or impair the Property, allow the Property to deteriorate or commit waste on the Property. Whether
<br />or not Borrower is residing in the Property, Bonower shall maintain the Property in order to prevent the
<br />Properiy from deteriorating or decreasing in value due to its condition. Unless it is determined p»*��ant to
<br />Secrion 5 that repair or restoration is not �:onomically feasible, Bonower shall promptly repair the Property
<br />if damaged to avoid further deterioration or damage. If insurance or condemnation proceeds are paid in
<br />connection with damage to, or the taking of, the Property, Bonower shall be responsible for repairing or
<br />restoring the Property only if Lender has released proceeds for such purposes. Lender may disburse proceeds
<br />NEBRASKA-Si�le Family-Fannie Mae/Freddie Mac UNIFORM INSTRUMENT
<br />VMP Q
<br />Walters Kluwer Financial Servicea
<br />Form 3028 1/01
<br />VMPB(NE) (1105)
<br />Page 7 of 17
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