Title Insurance

Title Insurance

What is Title Insurance?

Title insurance is perhaps the most unique form of insurance offered today. It protects the insured from losses that result from claims on one’s ownership of land. For example, a Seller may forge a signature of another, creating a loss for the new owner. Other problems that can occur are fraud, improper court proceedings, recording of mistakes, missing heirs, unfilled liens and the incompetency of the previous Sellers. Probably one of the most comforting features of title insurance is the obligation of the insurer to defend you against claims of others. A neighbor may claim rights to a portion of your land. Without title insurance, you would have to bear the cost of settling this dispute through the courts, regardless of the validity of the claim.

Are there different types of insurance policies?

There are two basic forms – an owner’s policy and a loan policy. As the names indicate, the owner’s policy covers the land owner and the loan policy covers the lender. Fees vary, but in all cases, title insurance is a one-time cost that doesn’t have to be renewed.

How long am I protected?

In a word – forever. You and your heirs are protected for as long as you own the property.