HOW TITLE INSURANCE 

        Protects Your Ownership

       |  Title insurance provides peace of mind      

              to both property owners and lenders  

Real estate has such great value and is so basic a form of wealth that many special laws have been enacted for its protection - laws so strict and far-reaching that real estate is more strongly safeguarded than any other form of property.

As a result, the owner of the land has exceedingly strong rights...and so do the family and heirs of the owner.

But others may have "rights" in the property, as well. 

Title insurance is a type of insurance policy that protects property owners and lenders against potential losses or damages related to the title, or legal ownership, of a property. For a one-time premium, the English Title Group will issue you a policy protecting you against covered losses due to undetected defects that existed prior to the issue date of your policy, up to the amount of the policy. 

HOW DOES TITLE INSURANCE 

                         Protect Ownership?

Title insurance does not fully protect you against all legal disputes. And only licensed attorneys are qualified to address legal issues that arise. The English Law Group, P.S.C. offers sixty years of experience in real estate law. We have handled most every type of legal conflict that might arise:

01. Defends Against Title Defects

Title insurance protects the owner against defects or issues with the title that were not discovered during the title search process. These defects could include:

  • Unknown liens: Unpaid debts or claims against the property (like unpaid taxes, contractor liens, or previous mortgages) that the new owner may become responsible for.

  • Errors in public records: Mistakes in legal documents, incorrect property descriptions, or clerical errors that affect ownership.

  • Fraud or forgery: Past fraud or forgery, such as fraudulent signatures on deeds, which could invalidate the ownership transfer.

  • Undiscovered heirs: Relatives or heirs who come forward after the sale, claiming rights to the property.

  • Click here for a list of 70 ways title insurance can protect your interests. 

02. Legal Defense Costs

If a title dispute arises, title insurance typically covers the cost of legal defense. This means the insurer will pay for the legal expenses associated with defending the owner’s right to the property, which could include attorney fees, court costs, and related expenses.

03. Financial Protection Against Losses

If a title defect results in a loss of property or a reduction in its value, title insurance can provide financial compensation up to the policy amount. For example, if a previous owner’s undisclosed debt leads to a lien on the property, the insurance policy can cover the cost to resolve that lien or reimburse the owner for any losses.

04. Protection Against Ownership Challenges

Title insurance ensures that the new owner is protected from challenges to their ownership. If someone contests the ownership due to a claim that predates the purchase, title insurance can protect the current owner’s right to the property or compensate them if they lose their ownership rights.

05. Covers Both Owners & Lenders

There are two main types of title insurance:

Owner’s Title Insurance: Protects the property owner’s financial interest in the property. This is usually a one-time purchase at closing and lasts as long as the owner or their heirs have an interest in the property.

Lender’s Title Insurance: Protects the lender’s interest in the property until the mortgage is paid off. Lenders typically require this insurance as a condition of the mortgage.

In Summary

Title insurance provides peace of mind to both property owners and lenders by protecting them against unexpected claims, legal issues, and financial losses related to the property’s title. It ensures that ownership is secure and that any title defects or disputes are handled by the insurance company, thereby minimizing the risk of losing the property or facing unexpected costs.

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WELCOME, WE’RE GLAD YOU’RE HERE!

If you have questions about title insurance or the real estate closing process, do not hesitate to call our law firm locally at (502) 425-8717. You can also contact our real estate law firm online.