Definition:
An insurance policy that protects the owner of property against loss that occurs from a defect in a title for real estate.
Related Terms
• General Warranty Deed
• Quitclaim Deed
For instance, if you buy a piece of property and at a later date another person proves ownership of it, the insurance will pay your losses (some exclusions apply). When a property is mortgaged the lending institution has a separate title policy to protect its interests.
Related Resources:
Read More About Title Insurance
Refer to the links on this page to find out exactly what title insurance is, and why you need it.Feature Article: Title Insurance - What is it? Why Do You Need It?