04 Aug What Is Title Insurance, and Why Do You Need It?

During closing, you will notice a fee for “Title Insurance.” While it might look like just another item on your settlement statement, title insurance provides essential legal protection for your property ownership rights.

What Title Insurance Covers:

Unlike traditional insurance that protects against future accidents, title insurance protects against past defects in ownership history, such as:

• Unpaid property taxes or contractor liens from previous owners.

• Undiscovered heirs claiming ownership of the land.

• Forgery, fraud, or filing errors in public property records.

• Conflicting boundary lines or undisclosed easements.

Key Takeaway: Title insurance is a one-time fee at closing that protects your legal claim to your home for as long as you or your heirs own it.