Most types of insurance are focused on the future. You get health coverage in case you get sick down the line or a renter’s policy to recoup losses if you are burgled. Title insurance is a unique tool that protects real estate owners from claims related to past incidents of fraud or error regarding a title, the legal document that confirms the property’s owner. Find out why you need title insurance when buying a home.

What Does Getting Title Insurance Entail?

Before taking you on as a client, the insurer will then conduct a thorough title search of the property. To mitigate their liability, they want to rule out the possibility of lawsuits that would call your ownership rights into question once the deed is transferred to you. Unlike most policies requiring monthly payments, you will need to pay only a one-time fee.

How Does Title Insurance Protect You?

Your insurer defends you against any potential litigation that could cast doubt on the credibility or legality on your ownership rights. There could be unpaid mortgages on the house, for example, or an undiscovered lien – in which one person holds on to another’s property as collateral for a debt they are owed – on the land.

Alternatively, there could simply be an error in the public record. Another possibility is an omitted heir, in which case someone left the property to beneficiaries who were never notified and failed to stake their claim.

Further complications are possible if the person you bought from was going through a separation. Say a man sold you the home, neglecting to mention that it was titled to both him and his soon-to-be-ex-wife. If she didn’t sign off on the sale, she could sue.

Protect yourself financially with reliable title insurance assistance from Looney & Chadwell Title Services in Crossville, TN. Their team has decades of experience in real estate law and will make sure all the I’s are dotted and T’s are crossed before you close your deal. With their attentive but efficient approach, they secure sound policies that will give you confidence in your transaction. Get to know the title company’s team online. Better yet, make an appointment to meet with them in person by calling (931) 484-7129.