Title Information

What Is Title Insurance?

Title Insurance is a contract which indemnifies against loss arising through an undisclosed defect in the title to real property.

If the Title is insurable, the title company will guarantee against loss due to any defects in title not specifically set forth in the policy, and will pay all expenses in defense of any lawsuit which attacks the title as insured within the terms of the policy.

There are two kinds of title policies:

Owner's Policy:

This policy protects the owner against the many possibilities of loss due to title defects. A buyer of property should purchase an owners policy.

Lender's Policy:

This policy protects the lender. Nearly all residential mortgages originated today are sold to investor's who will likely require a lender's policy to protect themselves.

Hidden Risks:

There may be defects in title which an examination may not disclose. A title policy protects against all of these hidden risks, and more:

• Illegal acts of trustees
• Conveyances altered before recording
• Deeds by minors
• Forged deeds, releases or wills
• Deeds by persons supposedly single but secretly married
• Deeds by person of unsound mind
• Deeds delivered after death of grantor or grantee or without the consent of the grantor
• Defective foreclosures of mortgages
• Errors made by administrator or executors
• Errors in copying and indexing
• False representations in appointment of guardians and administrators
• Falsification of records
• Fraud, duress or coercion in securing essential signatures
• Marital property rights not disclosed of record
• Instruments executed under expired or fabricated power of attorney
• Impersonations by fraudulent persons
• Liens for unpaid estate, inheritance, income and gift taxes
• Undisclosed or missing heirs