15 Reasons For Title Insurance
- A deed or mortgage in the chain of title may be a forgery.
- A deed or a mortgage may have been made under a power of attorney after its termination and would, therefore, be void.
- A deed or a mortgage may have been signed by a person under age.
- A fire destroys only the house and improvements. The ground is left. A defective title may take away not the only the house but also the land on which it stands. Title insurance protects you (as specified in the policy) against such loss.
- A deed or mortgage may have been made by a person other than the owner, with the same name as the owner.
- An heir or other person presumed dead may appear and recover the property or an interest therein.
- A deed or mortgage may be voidable because it was signed while the grantor was in bankruptcy.
- There may be a defect in the recording of a document upon which your title is dependent.
- Claims constantly arise due to marital status and validity of divorces. Only title insurance protects against claims made by non-existent or divorced “wives” or “husbands.”
- Over the last 24 years, claims have risen considerably.
- Title insurance covers attorneys’ fees and court costs.
- Title insurance helps speed negotiations when you’re ready to sell or obtain a loan.
- Title insurance reimburses you for the amount of your covered losses.
- A deed or mortgage may have been procured by fraud or duress.
- Almost all lenders will require a lender’s title insurance policy as a condition of making their loan.
