What Good is Title Insurance?
A title search and the issuance of title insurance means the ownership of the property can be cleanly conveyed to the new owners. During the search, the history of the property is researched verifying that all previous claims or liens have been satisfied, allowing a clear title to be issued. If any claim is overlooked, the title insurance protects the owner from the claim. Remember that if it’s not in writing on a real estate deal, it’s not enforceable.Lender’s Title Insurance insures the priority and validity of the mortgage loan and is required by banks and mortgage companies.Owner’s Title Insurance protects your investment by:
• Providing a corporate indemnity against insured defects.
• Paying the legal expenses to eliminate any title defects.
• Paying claims arising from errors in title examinations and recordings.
• Paying losses from hidden defects in title and defects not of record.