Title insurance and its benefits

by Guest » Tue Oct 19, 2010 05:11 am
Guest

A friend told me that Title insurance protects us against errors that we may commit or for defects that we may cause. Is it really the same as that of the E & O policies.

Total Comments: 4

Posted: Wed Oct 20, 2010 05:36 pm Post Subject:

Title insurance protects a homeowner (or other purchaser of "real" property) against any defects to a clear title to the property. The Title Insurance company is supposed to make a complete inquiry into any possible liens/claims against the property that would "impair" a person's title or interest in the property.

It is NOT the same as Errors & Omissions insurance which is protection for an individual against any negligent acts he or she commits.

In short, title insurance protects the property owner, E&O protects the title insurance agent/company.

Posted: Thu Oct 21, 2010 10:52 pm Post Subject:

Yes, with Title insurance the owner will be protected from errors and defects. You may choose out of Lender's, owners or Extended coverage options.

Posted: Fri Oct 22, 2010 12:23 am Post Subject:

I've read that it basically covers us against direct frauds. Apart from that it offers protection from recording defects, forged documents or signatures etc.

E&O is something different and we've had a lot of discussions on E&O in the past. You may search with 'E&O insurance' using our search box.

Posted: Fri Oct 22, 2010 08:42 am Post Subject:

Nice to see you posting again, Steven!!

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