Что такое Title Insurance?

Title insurance protects real estate buyers and mortgage lenders from losses caused by problems with a property's ownership history — problems that may not have been discovered even after a thorough title search. Unlike most insurance, which protects against future events, title insurance primarily covers past events: liens, unpaid taxes, forged deeds, undisclosed heirs, boundary disputes, clerical errors in public records, and other clouds on title that predate your purchase.

There are two main types of title insurance policies. A lender's policy (also called a loan policy) is almost always required by the mortgage lender and protects the lender's interest up to the loan amount. An owner's policy is optional but strongly recommended; it protects the buyer's equity in the property for as long as they or their heirs hold an interest. Both policies are typically purchased simultaneously at closing, and the combined cost is usually a one-time premium based on the property's purchase price.

The title insurance process begins with a title search — a thorough review of public records to trace ownership history and identify potential defects. Even a meticulous title search cannot catch every issue. Forged documents, missing heirs, undisclosed divorces, or errors recorded decades ago may only surface after purchase. Title insurance steps in when these hidden defects emerge, covering legal defense costs and financial losses up to the policy limit.