Keeping You Informed
Whether you are in the middle of a transaction or if it’s been some time since your closing, our staff can work with you to make sure you understand the coverage afforded by a title insurance policy and handle the details of resolving past defect should a claim be necessary.
Why Title Insurance?
Sometimes, even the most comprehensive public record searches can miss title faults or complications. You can never be too sure, even when working with professional title examiners. Also, other title problems may exist, which are not disclosed in a search.
With title insurance, you eliminate any risks and losses caused by faults in the title from an event that occurred before you owned the property. It does not protect against any future faults but saves you from a loss from the past’s matters or faults.
All you have to do is pay a one-time premium for a policy that remains effective until the property is sold to a new owner, even if that doesn’t occur for decades.
What is a lender's policy?
A lender’s policy, also known as a loan policy or a mortgage policy, protects the lender against loss due to unknown title defects. It also protects the lender’s interest from some issues which may exist but may not be known at the time of the sale. This policy only protects the lender’s interest. It does not protect the purchaser. That is why a real estate purchaser needs an owner’s policy.
What does an owner's policy provide?
- Protection from financial loss due to demands that may be charged against the title to your home, up to the cost of the title policy.
- Payment of legal costs if the title insurer has to defend your title against a covered claim.
- Payment of successful claims against the title to your home covered by the policy, up to the cost of the policy.
Why does the buyer need title insurance?
What does title insurance protect from?
- Undisclosed heirs
- Forged deeds, mortgages, wills, releases, and other documents
- False impersonation of the true landowner
- Deeds by minors
- Documents executed by a revoked or expired Power of Attorney
- False affidavits of death or heirship
- Probate matters
- Deeds and wills by persons of unsound mind
- Conveyances by undisclosed divorced spouses
- Rights of divorced parties
- Deeds by persons falsely representing their marital status
- Adverse possession
- Defective acknowledgments due to improper or expired notarization
- Forfeitures of real property due to criminal acts
- Mistakes and omissions resulting in improper abstracting
- Errors in tax records
What is an owner's policy?
An owner’s policy protects you, the purchaser, against a loss that may occur from a fault in the ownership or interest you have in the property. It would be best if you protected the equity in your new home with a title policy.