The Lender: Title insurance insures the bank as to their lien position insuring their mortgage has priority.

The Buyer: When acquiring a property, it’s a good idea to have insurance, since it will give you protection in case there’s a title claim against your home.

There are many possible causes of title defects that no examination can disclose. That is because they have never been recorded and thus do not appear in the abstract. A title insurance policy protects the owner against all these hidden risks; those listed below and many more;

Fraud. False claims of ownership, forged deeds, wills, signatures, conveyances, instruments, false representations, false records of all sorts, illegal acts of trustees, guardians, administrators and attorneys.

Human Error. Errors in copying, indexing, recording; errors by administrators, executors, trustees, guardians, and attorneys; destruction of records.

Improper Deeds and Wills. Deeds by persons of unsound mind, minors, deeds delivered after death of without the grantor’s consent; invalid, suppressed erroneous wills, missing heirs, unsettled estates.

Liens and Other Rights. Liens for unpaid estate, income and property taxes, mechanic’s liens; unpaid mortgages; irregular court proceedings, defective foreclosures; sewer and water assessments.

It provides you with protection of your property, and it can save you money, time, trouble– even your home. When a person buys a car or consumer goods, they seldom need to know whether the former owner is married, single or divorced, whether they have paid their taxes or are involved

in a lawsuit. But when a person buys a home, it is necessary to have all the information and much

more. For a while he or she may own the property, others may also have rights or prior claims in the same real estate.