If a business closes is it common for lenders to force place insurance? It has been recommended for us to do so even though we have not received cancellation notice from the insurance company. They say once they close their business it should be expected that they will cancel their insurance.

They say once they close their business it should be expected that they will cancel their insurance.

Who the heck is "they"? That doesn't really make a lot of sense and I don't think that should be the rule of thumb. Why would you force place insurance without evidence of actual cancellation or evidence that the property was uninsured? You would likely breach your loan agreement.