7 CFR § 1788.6 - RUS right to place insurance.

---
identifier: "/us/cfr/t7/s1788.6"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "7 CFR § 1788.6 - RUS right to place insurance."
title_number: 7
title_name: "Agriculture"
section_number: "1788.6"
section_name: "RUS right to place insurance."
chapter_name: "RURAL UTILITIES SERVICE, DEPARTMENT OF AGRICULTURE"
part_number: "1788"
part_name: "RUS FIDELITY AND INSURANCE REQUIREMENTS FOR ELECTRIC AND TELECOMMUNICATIONS BORROWERS"
positive_law: false
currency: "2026-03-24"
last_updated: "2026-03-24"
format_version: "1.1.0"
generator: "[email protected]"
authority: "7 U.S.C. 901  7 U.S.C. 1921  7 U.S.C. 6941"
regulatory_source: "64 FR 2, Jan. 4, 1999, unless otherwise noted."
cfr_part: "1788"
---


# 1788.6 RUS right to place insurance.

If a borrower fails to purchase or maintain the required insurance and fidelity coverage, the mortgagees may place required insurance and fidelity coverage on behalf and in the name of the borrower. The borrower shall pay the cost of this coverage, as provided in the loan documents.