The word "title" refers to a person's ownership interest in their property. By purchasing title insurance, homeowners are protecting their ownership to their property and the use of the property. A title policy is purchased for a one-time fee and, once acquired, protects the policyholder as long as there is an interest in the property.
Covered title risks include*:
- Invalid documents executed under expired/non-existent power
- False assumption of identity concerning the legitimate property owner
- Liens and financial burdens charged to the previous property owner
- Any document upon which title is based is invalid because of forgery or impersonation, lack of capacity, fraud, incompetency or other disability
- Hidden heirs of previous property owners
What does a title guaranty provide?
- Payment of legal expenses to defend a guaranteed title
- Payment of valid claims up to the value of the guaranty*
- Thorough investigation of the title prior to issuance of title guaranty
* This website provides information of a general nature. Refer to your policy for specific coverage details.