Andre,If you put in a claim they will want to know the cause of the loss.

If it's legitimately for security reasons make sure you document the specific reasons and add it to your SOP to head off any future claims.  

So any insurance claim against the policy could cause the lender to "Wake up". 

I don't claim to be an expert on real estate in all of LA County or Southern California (though I do know all the neighborhoods and areas) but rather I focus on the area that my family and I live in, love and know best. 

@Kevin Stringari I have listened to interviews with one of the owners of those security deposit insurance companies and most of the time they will not pay out a claim unless you have a monetary judgement.

I have handled title insurance claims in all four and recommend you tread carefully. 

It's those maniacs that buy homes cash via quit claim deed off of craigslist that really get screwed.Make sure your property manager is a licensed real estate brokerage.Google Clayton Morris scam and/or Morris Invest fraud for a cautionary tale of what not to do when buying turnkey real estateUnderstand you can not eliminate all risk, only mitigate it.

So much so that a common exception found in commitments and policies reads:"Any rights, claims, or interest of (the mortgagor) in the land or any claim that the foreclosure by (lender) is invalid."

The reality is if you had not paid per the degree, you ex could possibly have a claim against the property that would be superior to the loan you seekingAdditionally, the underwriter does not know you and does not want to risk a flag if the file was auditedLike it or not, a notarized document from your ex solves the problem. 

I have been more convinced about this in the last few years, based on better solid evidence, than I can claim to have been convinced about the color of the sky or whether water is wet.