- What is Title Insurance?
- Why
do I need title Insurance if I have a Title Search?
-
If
the owner just bought a policy, why do I need one?
- What
happens if I have a claim?
- Do
I need to renew it?
Title insurance is a contract of indemnity against loss or damage arising out of defects in, or liens upon, the title to real property. It protects against losses due to past events, not events occurring after the date of the policy. Title insurance provides protection against problems that are not known to or discoverable by the insured.
A title search is a historical examination of title.
Inherent in the process are mistakes.
As a result, there is no way to have a 100% accurate title search. Title insurance is designed to safeguard and warrant you against
such mistakes.
The owner could have encumbered the title in
countless ways since the time he/she became the owner.
As a result, the title policy would not cover anything that
occurred since it was issued.
In accordance with the terms of your policy, it may
provide you a legal defense, pay court costs and/or related fees, as well
as reimburse you for actual loss up to the face amount of the policy.
Unlike
most insurance policies, you only pay for it once.
