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201oo�4si
<br />insurance and Borrower was r�quired to make separately designated payments toward the premiums for Mortgage
<br />Insurance, Borrower shall pay the premiums required to obtain coverage substantially equivalent to the Mortgage
<br />Insurance previously in effect, at a cost substantially equivalent to the cost to Borrower of the Mortgage Insurance
<br />previously in effect, from an alternate rnortgage insurer selected by Lender. If substantially equivalent Mortgage
<br />Insurance coverage is not available, Borrower shall continue to pay to Lender the amount of the separately designated
<br />payments that were due when the insuranc� cov�rage ceased to be in effect. Lender will accept, use and retain these
<br />payments as a non-refundable loss reserve in lieu of Martgage Insurance. Sucfa loss reserve shall be non-refundable,
<br />notwithstanding the fact that the Loan is ultimately paid in full, and Lender shall not be required to pay Borrower any
<br />interest or earnings on such loss reserve. Lender can no longer require loss reserve payments if Mortgage Insurance
<br />coverage (in the amount and for the period that Lender requires) provided by an insurer selected by Lender again
<br />becomes available, is obtained, and Lender requires separately designated payments towatd the premiums for
<br />Mortgage Insurance. If Lender required Moa insurance as a condition oF inaking the Loan and Borrower was
<br />required to make separately designated payments toward the premiums for Mortgage Insurance, Bocrower shall pay
<br />the premiums required to maintain Mortgage Insurance in effect, or to provide a non-refundable loss reserve, until
<br />Lender's requirement for Mortgage lnsurance ends in accordance with any written agreement between Borrower and
<br />Lender providing for such ternlination or until termination is required by Applicable Law. Nothing in this Section
<br />10 affects $orrower's obligation to pay interest at the rate provided in the Note.
<br />Mortgage lnsurance reimburses Lender (or any entity that purchases the Note) for certain losses it may incur
<br />if $orrower does not repay the Loan as agreed. Borrower is not a party to the Mortgage insurance.
<br />Mortgage insurers evaluate their total risk on all such insurance in force from time to time, and may enter into
<br />agteements with other parties that share or modify their risk, or reduce losses. These agreements are on terms and
<br />conditions that are satisfactory to the mortgage insurer and the other party (or parties) to these agreements. These
<br />agreements may require the naortgage insurer to make payments using any source of funds that the mortgage insurer
<br />may have available (which nnay include funds obtained from Mortgage Insurance premiums).
<br />As a result of these agreements, Lender, any purchaser of tha Note, another insurer, any reinsurer, any other
<br />entity, or any affiliate of any of the foregoing, may receive (directly or indirectly) amounts that derive fronn (or might
<br />be characterized as) a portion of Borrower's payments for Mortgage Insurance, in exchange for sharing or rnodifying
<br />the mortgage insurer's risk, ar reducing losses. If such agreeznent provides that an affiliate of Lender takes a share
<br />of the insurer's risk in exchange for a share of the premiums paid ta the insurer, the arrangement is often termed
<br />"captive reinsurance. " Further:
<br />(a) Any such agreements will not affect the amounts that Sorrower has agreed to �ay for Mortgage
<br />Insurance, or any other terms of the Loan. Such agreements will not increase the amount Borrower will owe
<br />for Mortgage Insurance, and they will not entitle Borrower to any refund.
<br />(b) Any such agreements will not affect the rights Borrower has - if any - with respect to the Mortgage
<br />lnsurance under the Homeowners Protection Act of 1998 or any other law. These rights may Ynclude the rlght
<br />to receive certain disclosures, to request and obtain cancellation of the Mortgage Insurance, to have the
<br />Mortgage Insurance terminated automatically, and/or to receive a refund of any Mortgage Insura�a�ce premiun�s
<br />that were unearned at the time of such cancellation or tecmination.
<br />11. Assignment of Miscellaneous Proceeds; Forfeiture. All Miscellaneous Proceeds are hereby assigned to
<br />and shall be paid to L.ender.
<br />If the Property is dama$ed, such Miscellaneous Proceeds shall be applied to restoration or repair of the Froperty,
<br />if the restoration or repair is economically feasible and Lender's security is not lessened. During such repair and
<br />restoration period, Lender shall have tk►e right ta hold such Miscellaneous Praceeds until Lender has had an
<br />opportunity to inspect such Property to ensure the work has been completed to Lender's satisfaction, provided that
<br />such inspection shal l be und�rtaken promptly. Lender rtzay pay for the repairs and restoration in a single disbursement
<br />or in a series of progress payments as the work is completed. Unless an agreement is made in writing or Applicable
<br />Law requires interest co be paid an such Miscellaneous Froceeds, I.ender shall not be required to pay Borrower any
<br />interest or earnings on such Miscellaneous Proceeds. lf the restoration or repair is not economically feasible or
<br />L,ender's security would be lessened, the Miscellaneous Proceeds shall be applied to the sums secured by this Security
<br />Instrument, whether or not then due, with the excess, if any, paid to Borrower. Such Miscellaneous Proceeds shall
<br />be applied in th� arder provided for in Sectian 2.
<br />In the event of a total taking, destruction, or loss in value of the Property, the Miscellaneous Proceeds shall be
<br />applied to the sums secured by this Security Instrumsnt, whether or not then due, with the excess, if any, paid to
<br />Borrower.
<br />In the event of a partial taking, destruction, or loss in value of the Property in which the fair market value af
<br />the Property immediately before the partial taking, destruction, or loss in value is equal to or greater than the amount
<br />of the sums secured by tk�is Security Instrument immediately before the partial taking, destruction, or loss in value,
<br />unless Borrqwer and Lender otherwise agree in writing, the sums secured by this Security Instrument shall be reduced
<br />by the amount of the Miscellaneous Proceeds multiplied by the following fraction: (a) the total amoutrt of the sums
<br />secured immediately before the partial taking, destruction, or lass in value divided by (b) the fair market value of the
<br />Property immediately before the partial taking, destruction, or loss in value. Any balance shall be paid ta Borrower.
<br />ln the event of a partial taking, destruction, or loss in value of the Property in which the fair rnarket value of
<br />the Property innmediately before the partial taking, destruction, or loss in value is less than the arnount of the sums
<br />secured imrnediately before the partial taking, destruction, or loss in value, unless Borrower and Lender otherwise
<br />agree in writing, the Miscellaneous Proceeds shall be applied to the sums secured by this Security Instrument whether
<br />or not the sums are then due.
<br />,1�
<br />NEBRASKA--Single Family--Fannie Mae/Freddie Mac UNIFORM INSTF�'t'JM�NT - MERS DocMagic�d�n� aoo-sas•r3sz
<br />Form 3�28 1/01 Page 6 of 11 www.docmagic.com
<br />Ne3028.pa�d.xml
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