Introduction to Title Insurance - The Whats and Whys.
Why title insurance so important. What title insurance protect you from. How title insurance work.
Posted: June 24, 2015 by Jesse Olive
At Coldwell Banker Premier Realty (CBPR), we are often asked questions like, “Why is title insurance so important? What does title insurance protect me from?” And, “How does title insurance work?”
Title insurance becomes involved in the transaction at the point of escrow--the period of time where all the funds and documents that are related to the transfer of the property are verified. Escrow is an integral part of the transaction for both buyer and seller, as it protects each party from unforeseen situations that could jeopardize one party. It allows the necessary time for a title company to verify the documentation of closing on the property.
We recently met with Lisa Ray of Ticor Title Las Vegas to get a title professional’s insight. “Title Insurance isn’t simply transferring a deed” Ray explained. “Title Insurance protects the buyer from risks that appear far down the road in ownership, like undisclosed heirs or impersonation of the true owner.”
Title insurance is the bulwark that protects buyers from falsification or foul play by sellers. “Hidden defects” include the two previously mentioned, as well as forged signatures on the deed, the deed signed off by someone mentally unsound, or minors signing the deed. These circumstances potentially can complicate your claim to ownership drastically and may appear years after you bought your home. Title Insurance protects you from concerning yourself over these complications, should they arise soon after closing or a decade after.
On both sides of the fence there is a lot of good faith entrusted in the other party. Escrow and the consequent validation by the Title agent ensure legitimacy in this good faith, and should issues arise, help correct the situation for the misinformed party. Ray added, “Ticor Title is a member of the Fidelity family of Title companies, collectively representing the largest Title and Escrow services nationally.” This is bolstered by Ticor’s 2.6 billion claim reserve. Ray told us “Our claim paying ability is larger than any in the industry.” Contact Lisa Ray to learn more about the Title and Escrow process at 702-932-0777.