20 Reasons Why You Need Title Insurance

  1. A defective title may take away the house and the land on which it stands.
  2. A deed or mortgage in the chain of title may be a forgery.
  3. A deed or mortgage may have been signed by a person under age.
  4. A deed or mortgage may have been made by an insane person or one otherwise not competent.
  5. A deed or mortgage may have been made by a person other than the owner, but with the same name as the owner.
  6. A deed or mortgage may have been made under a power of attorney after the death of the principal, and therefore, be void.
  7. The testator of a will might have had a child born after the execution of the will, a fact that would entitle the child to claim his or her share of the property.
  8. A will may have been revoked by the testator after its execution.
  9. A conveyance by heirs-at-law or a person supposed to have died without a valid will may be defeated by a subsequent discovery and probate of a will.
  10. An heir or other person presumed dead may appear and recover the property or an interest therein.
  11. A judgment of levy upon which the title is dependant may be void or void able on a account of some defect in the proceedings.
  12. Without title insurance, you bear all the risk of loss from title disputes after buying or lending on real estate.
  13. Title insurance helps speed negotiations when you are ready to sell.
  14. By insuring the title you can eliminate delays and technicalities when passing your title on to someone else.
  15. If your title is ever affected by matters covered in the policy, title insurance reimburses you for the amount of your loss up to the policy limits.
  16. Each title insurance policy that is written is paid up, in full, by the first premium.
  17. Title insurance provides you with a defense in court against any litigation involving any alleged title defect, lien or encumbrance covered by the policy.
  18. Claims constantly arise due to marital status and validity of divorces. Only title insurance protects against these claims of supposedly non-existent or divorced “wives” or “husbands.”
  19. Most lawyers, in giving an opinion on a title, protect their client as well as themselves, by procuring title insurance.
  20. Title insurance gives you peace of mind with coverage against insured defects.