Title Insurance Defined

Title insurance protects the seller and assures a buyer that whatever possible claims on the property title, which can be discovered from the public records, has been called to both parties’ attention, so that such defects can be corrected before the purchase is completed

Title insurance also guarantees that, if in the future, any undisclosed claim covered by the buyer’s policy should arise to threaten their property ownership, that the claim will be dis­posed of, or the buyer will be reimbursed, exactly as the title insurance policy provides

Unlike other insurance, the original premium for title insurance is the buyer’s only cost, so long as they or their heirs own the property. No annual payments are required to keep an owner’s title insurance policy in force

Initial Search for Existing Claims

A title company conducts a search of public records prior to insuring the buyer’s title They review recorded documents to uncover any unpaid taxes or mortgages, judgments against previous owners, easements, court actions and many other issues which can affect title to real estate Title companies find and report such title defects, so that these can be corrected and resolved This is the first benefit that a buyer receives when title insurance is ordered

Protection Against Future Claims

Occasionally an undiscovered tide claim may arise, long after the home was purchased The tide to your purchased home, and to which you hold a deed, could be seriously threatened or completely lost by circumstances such as forgery confusion of similar names, errors in records—to cite a few hazards. Title insurance is your protection against loss from any future claims on real estate which were not discovered during examination of public records prior to your purchase This is the ongoing benefit which title insurance provides.

Puy CR/LLC
Michael Kollar - 253.640.8548