Title Insurance Quick Facts

Title Insurance can be very confusing. Here is some quick and useful information to help you better understand title insurance.

  • Most people have never heard of title insurance
  •  Most people don’t know what title insurance is
  •  Title insurance only applies to ownership of real estate
  •  Not everyone who owns real estate has title insurance
  •  Title insurance does not protect from damage (i.e. fire) to your real estate
  •  Title insurance protects from claims against your real estate and your ownership
  •  If you have title insurance, it is probably because you borrowed money from a lender to buy the real estate
  •  The purchase of the title insurance policy arranged by the realtor or the escrow company and not by you
  •  You paid a one-time premium when you bought the policy
  •  The title insurance policy was expensive
  •  You received a title insurance policy from the title company
  •  You do not know the name of the title insurance company
  •  You have never heard from the title insurance company again
  •  You received no yearly reminders, bills, or birthday cards from the title insurance company
  •  The title insurance company may have gone out of business without you knowing
  •  You may have lost or mislaid your policy
  •  Your title insurance policy expires if you sell the real estate to another person
  • Some title insurance policies expire if you transfer your real estate to your living trust
  •  You find this out by reading the title insurance policy or by contacting the title insurance company
  •  If the policy expires because of your living trust, the title insurance company will issue an endorsement (for a fee) to keep the title insurance policy in effect
  •  Though the risk of having a claim against your property is small, you do not want to be without title insurance if a claim is made
  •  When searching for your policy, you want to find your owners policy and not a lenders policy

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