Property is likely the largest purchase you'll ever make. Protecting that investment is key to securing your future.
Why do I need title insurance?
Owning real estate is one of the most precious values of freedom in this country. Get the assurance that the property you are buying will be yours. Other than your mortgage holder, no one else should have any claims or restrictions against your home. Under our system of law, it’s entirely possible for someone to claim an interest in real estate you think is yours. Even if you defend successfully in court, there are legal fees and costs to be paid. If your defense fails, your real estate ownership will be threatened and you could suffer serious financial loss. When you buy a home, you should expect clear title to the real estate. If your land title is clouded by claims, possible hazards and other problems, the security of your ownership will be in jeopardy. For protection against these and other types of land title difficulties, rely on Bright Light Land Title. Our experts search and examine public records to locate trouble in advance-so problems can be cleared up whenever possible and transactions can be completed.
How does title insurance differ from other types of insurance?
Title insurance is different from other types of insurance in that it protects you, the insured, from a loss that may occur from matters or faults from the past. Other types of insurance such as auto, life or health cover you against losses that may occur in the future. Title insurance does not protect against any future faults.
Another difference is that you pay a one-time premium. A title insurance policy will protect you from risks or undiscovered interests.
There are two principal forms of title insurance:
1. The lender’s policy
2. The owner's policy
What is a lender’s policy?
A Lender’s policy protects the mortgage holder. If there is a fault in title that results in a loss, the mortgage holder will be paid back.
What is an owner’s policy?
An owner's policy protects you, the purchaser, against a loss that may occur from fault in your ownership or interest you have in the property. You should protect the equity in your new home with a title policy.
How long does my coverage last?
Once purchased, title insurance remains in effect for as long as you own your property. Title insurance adds security and peace of mind to home ownership.
How do I obtain title insurance and what does it cost?
Let the Title Company, attorney or agent handling the closing of your property know that you want to purchase an Owner’s Title Insurance Policy. When choosing a title insurer, look for a company with experience, as well as the financial strength to protect you.
In most states, the insurance commission or some other governmental body controls the premiums for title insurance policies. You only pay the premium once. The cost depends upon the purchase price of the property, and your policy amount must be equal to the purchase price.