After paying the one-time fee known as a “premium” a title insurance policy can cover protection from such losses such as: 

  • Unknown and undiscoverable title defects (title issues that could prevent you from having clear ownership of the property).  The big benefit here is being covered even for undiscoverable defects that no amount of searching could reveal before they come to fruition.  ONLY title insurance provides this level of protection and that is the primary reason that it is indispensable. 
  • Existing liens against the property titles (Having outstanding debt from the previous owner from things such as mortgages, utilities, property taxes, or condominium charges secured against the property.) 
  • Encroachment issues (A structure on your new property needs to be removed because it is on your neighbor’s property) 
  • Title fraud (someone assumes the identity of an individual homeowner and then uses that false identity to pose as the homeowner.)