I would suggest that you talk with your insurance company before proceeding. An insurance check is made out to both you and to your mortgage lender if records indicate there is a lien on the property. Including them on the check ensures you do not simply walk away with the money without paying off the balance of your loan.
The usual practice is for you to endorse the check and send it to your lender, who will deposit in in an escrow account. The escrow account is then used to pay for repairing or rebuilding the home. If you choose not to rebuild, the account may be used to pay off the balance of your loan and you can receive what's left. But you should talk with your insurance company and National City about the steps you need to take to begin repairs or reconstruction before proceeding.