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20 210633
<br /> Loan No: 704497 Data ID: 181
<br /> 5. Property Insurance. Borrower shall keep the improvements now existing or hereafter erected
<br /> on the Property insured against loss by fire, hazards included within the term "extended coverage," and
<br /> any other hazards including, but not limited to, earthquakes and floods, for which Lender requires
<br /> insurance. This insurance shall be maintained in the amounts (including deductible levels) and for the
<br /> periods that Lender requires. What Lender requires pursuant to the preceding sentences can change
<br /> during the term of the Loan. The insurance carrier providing the insurance shall be chosen by
<br /> Borrower subject to Lender's right to disapprove Borrower's choice, which right shall not be exercised
<br /> unreasonably. Lender may require Borrower to pay, in connection with this Loan, either: (a) a
<br /> one-time charge for flood zone determination, certification and tracking services; or (b) a one-time
<br /> charge for flood zone determination and certification services and subsequent charges each time
<br /> remappings or similar changes occur which reasonably might affect such determination or certification.
<br /> Borrower shall also be responsible for the payment of any fees imposed by the Federal Emergency
<br /> Management Agency in connection with the review of any flood zone determination resulting from an
<br /> objection by Borrower.
<br /> If Borrower fails to maintain any of the coverages described above, Lender may obtain insurance
<br /> coverage, at Lender's option and Borrower's expense. Lender is under no obligation to purchase any
<br /> particular type or amount of coverage. Therefore,such coverage shall cover Lender,but might or might
<br /> not protect Borrower, Borrower's equity in the Property, or the contents of the Property, against any
<br /> risk, hazard or liability and might provide greater or lesser coverage than was previously in effect.
<br /> Borrower acknowledges that the cost of the insurance coverage so obtained might significantly exceed
<br /> the cost of insurance that Borrower could have obtained. Any amounts disbursed by Lender under this
<br /> Section 5 shall become additional debt of Borrower secured by this Security Instrument. These
<br /> amounts shall bear interest at the Note rate from the date of disbursement and shall be payable, with
<br /> such interest, upon notice from Lender to Borrower requesting payment.
<br /> All insurance policies required by Lender and renewals of such policies shall be subject to
<br /> Lender's right to disapprove such policies, shall include a standard mortgage clause, and shall name
<br /> Lender as mortgagee and/or as an additional loss payee. Lender shall have the right to hold the
<br /> policies and renewal certificates. If Lender requires, Borrower shall promptly give to Lender all
<br /> receipts of paid premiums and renewal notices. If Borrower obtains any form of insurance coverage,
<br /> not otherwise required by Lender, for damage to, or destruction of, the Property, such policy shall
<br /> include a standard mortgage clause and shall name Lender as mortgagee and/or as an additional loss
<br /> payee.
<br /> In the event of loss, Borrower shall give prompt notice to the insurance carrier and Lender.
<br /> Lender may make proof of loss if not made promptly by Borrower. Unless Lender and Borrower
<br /> otherwise agree in writing, any insurance proceeds, whether or not the underlying insurance was
<br /> required by Lender, shall be applied to restoration or repair of the Property, if the restoration or repair
<br /> is economically feasible and Lender's security is not lessened. During such repair and restoration
<br /> period, Lender shall have the right to hold such insurance proceeds until Lender has had an
<br /> opportunity to inspect such Property to ensure the work has been completed to Lender's satisfaction,
<br /> provided that such inspection shall be undertaken promptly. Lender may disburse proceeds for the
<br /> repairs and restoration in a single payment or in a series of progress payments as the work is
<br /> completed. Unless an agreement is made in writing or Applicable Law requires interest to be paid on
<br /> such insurance proceeds,Lender shall not be required to pay Borrower any interest or earnings on such
<br /> proceeds. Fees for public adjusters, or other third parties, retained by Borrower shall not be paid out
<br /> of the insurance proceeds and shall be the sole obligation of Borrower. If the restoration or repair is
<br /> not economically feasible or Lender's security would be lessened, the insurance proceeds shall be
<br /> applied to the sums secured by this Security Instrument, whether or not then due, with the excess, if
<br /> any, paid to Borrower. Such insurance proceeds shall be applied in the order provided for in
<br /> Section 2.
<br /> If Borrower abandons the Property, Lender may file, negotiate and settle any available insurance
<br /> claim and related matters. If Borrower does not respond within 30 days to a notice from Lender that
<br /> the insurance carrier has offered to settle a claim,then Lender may negotiate and settle the claim. The
<br /> 30-day period will begin when the notice is given. In either event, or if Lender acquires the Property
<br /> under Section 22 or otherwise, Borrower hereby assigns to Lender (a) Borrower's rights to any
<br /> insurance proceeds in an amount not to exceed the amounts unpaid under the Note or this Security
<br /> Instrument, and (b) any other of Borrower's rights (other than the right to any refund of unearned
<br /> premiums paid by Borrower) under all insurance policies covering the Property, insofar as such rights
<br /> are applicable to the coverage of the Property. Lender may use the insurance proceeds either to repair
<br /> or restore the Property or to pay amounts unpaid under the Note or this Security Instrument,whether
<br /> or not then due.
<br /> 6. Occupancy. Borrower shall occupy, establish, and use the Property as Borrower's principal
<br /> residence within 60 days after the execution of this Security Instrument and shall continue to occupy
<br /> the Property as Borrower's principal residence for at least one year after the date of occupancy, unless
<br /> Lender otherwise agrees in writing, which consent shall not be unreasonably withheld, or unless
<br /> extenuating circumstances exist which are beyond Borrower's control.
<br /> NEBRASKA VA DEED OF TRUST Form 3028 1/01 (Page 5 of 11 Pages)
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<br /> P+0000704497+8175+05+11+NECNVADT
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