Why Do You Need Title Insurance?

To protect possibly the most important investment you will ever make – the investment in your home.

With a title insurance policy you, as the owner, have an indemnity contract that will reimburse you for loss in the event someone tries to exert a claim against your property which would be covered by the policy.

How can there be a title defect if the title has been searched?

Title insurance is issued after a careful examination of the copies of public records. However, even the most thorough search cannot absolutely guarantee that no title hazards are present, despite the knowledge and experience of professional title examiners. In addition to matters shown by public records, other title problems may exist which cannot be disclosed in a search.

What does title insurance protect against?

Below is a small sample of the most common hidden risks that can cause a loss of title or create an encumbrance on title:

  • False impersonation of the true owner of the policy
  • Forged deed, releases of wills, and  instruments executed under invalid or expired power or attorney
  • Undisclosed or missing heirs
  • Mistakes in recording legal documents
  • Misinterpretations of wills or deeds by persons of unsound mind
  • Deeds by minors
  • Deeds by persons supposedly single, but in fact married
  • Fraud
  • Liens for unpaid estate, inheritance, income, or gift taxes

What protection does title insurance provide against defects and hidden risks?

Title insurance will pay for defending against any lawsuit attacking your title as insured, and will either clear the title problems or pay the Insured’s losses. For a one-time premium, an owner’s title insurance policy remains in effect as long as you, or your heirs, retain an interest in the property.