ND HB1187

Creates an automatic lien on fire insurance proceeds for total loss claims in favor of the city (or county if outside city limits), set at the greater of $5,000 or 10% of policy limits for real property and debris removal coverage

Requires insurance companies to send certified notice to both the insured and the local auditor within 10 days of determining a total loss, detailing claim amounts, coverage limits, property location, and policyholder information

Cities or counties must file a notice of lien with the county recorder within 30 days of receiving the insurer's letter to perfect the lien; failure to file does not preclude other legal remedies

Lien must be released when the property is satisfactorily remediated, satisfactory repair measures are assured, or the insurance company pays the lien amount to the locality

If remediation costs less than the lien amount paid, the difference must be returned to the insurer; prevailing parties in disputes over lien release are entitled to full costs and attorney's fees