What is Title Insurance?
Owner’s title insurance protects your right to your home.
By searching, clearing and insuring the title to your home before you buy it, your owner’s title policy offers protection for your property rights for as long as you and your heirs own your home.
If ownership of your property ever comes into question, an owner’s title insurance policy protects you from expensive legal problems that could result in the loss of your home.
How Title Insurance Works:
As property changes hands, mistakes and irregularities – often made long before you expressed interest in the property – can place your ownership in dispute. The seller may have…
• Avoided disclosure of using the property as collateral for an unpaid loan
• Fraudulently claimed to be the sole owner
• Failed to pay real estate taxes
Even a simple mistake in the recording of legal documents, improper execution of legal instruments or the reappearance of undisclosed or missing heirs can result in the loss of your home.
Title Insurance: The Ultimate Property Protection
If ownership of your property is ever challenged, title insurance will defend your possession of the property–and assume the legal costs of that defense–for as long as you and your heirs own the property. What’s more, if any challenge to your property’s title proves to be legitimate, title insurance will pay for your losses, just as your title insurance policy provides.
20 Important Reasons Why You Need Owner’s Title Insurance
- Forgery
- Fraud in the execution of documents
- Undue influence on a grantor
- False impersonation by someone purporting to be the owner of the property
- Errors in surveys
- Undisclosed or missing heirs
- Wills not properly probated
- Fraud in the execution of documents
- Mental incompetence of a grantor of a deed
- Transfer of title by a minor
- Heirs born after the execution of a will
- Incorrect legal descriptions
- Non-delivery of deeds
- Unsatisfied claims not shown on the record
- Deeds executed under expired or false
powers of attorney - Confusion due to similar or identical names
- Dower or courtesy rights of spouses of
former owners - Incorrect indexing of the land records
- Clerical errors in recording legal documents
- Delivery of deeds after the death of the
Grantor
We will dive deeper into each of these reasons in upcoming articles, so be sure to subscribe to our newsletter!