Protecting Your Investment
Clear title is necessary for any real estate transaction; however, sometimes an undetected issue can arise after the title search is complete.
Title insurance for property owners is designed to protect your investment in the event a title issue is discovered after the title search. Owner's title insurance protects your interests if a title issue, such as a document forgery, a clerical error, or undisclosed heir, is discovered on the property. Only an owner's title policy fully protects the buyer should a covered title problem arise, and it is valid for as long as the owner or their heirs have an interest in the property.
Title insurance for mortgage lenders is to protect the lender's interests in the property if a title issue should arise. It is separate from the owner's title insurance and does not protect the buyer. Almost all lenders require the borrower to purchase a lenders title insurance policy to protect the lender.