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One of these exceptions is the âabundance of cautionâ exception, in which a lien. on real estate has been taken as collateral in an abundance of caution. 12 C.F.R. Â§ 34.43(a)(2). For this exception to apply to the six Notes Receivable being considered here, there must be.
As you've found out, the insurance company does not need to protect a lien holder on a 3rd party claim as long as they are not put on notice of that need by the lien holder... and I don't see why the lien holder would know about the accident.s you've found out, the insurance company does not need to protect a lien holder on a 3rd party claim as long as they are not put on notice of that need by the lien holder... and I don't see why the lien holder would know about the accident.