What is title insurance?

Title insurance is a form of insurance designed to protect both a lender and buyer against any problems or disputes that might arise due to the title of a property. In California, title insurance is intended to provide protection from such issues as liens, encumbrances, and undisclosed heirs that could potentially undermine the ownership of a property. Title insurance also offers protection against mistakes made in public records, including errors in deed descriptions, and other issues that could cause a dispute over the ownership and use of a piece of property. Title insurance is typically required when a lender loans money to a borrower for the purchase of a home. The policy is used to cover the lender in the event that a title dispute arises. The policy also provides coverage for the buyer so that in the event of a dispute, the legal expenses involved with resolving the dispute are covered. In California, each title insurance policy is slightly different, based on the property, so it is important to carefully read the policy and understand what it covers. The premium for title insurance is included in the closing costs associated with purchasing a home, but this is a one-time cost, and the policy will remain in effect until the property is sold.

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What is title insurance?

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