Why Title Insurance is necessary

 

Many buyers ask why title insurance is necessary. Title insurance protects a property owner (i.e., buyer) from hidden defects in title that are not uncovered (and in many cases could not be uncovered) during the course of a normal title examination.  Examples of such hidden defects include forged signatures on deeds, missing heirs, wills that have not been properly probated, and errors in the clerk's office in recording deeds or releasing liens.  Although claims involving title defects do not occur on a daily basis, the potential loss, in the event a claim does arise, can be catastrophic to a property owner who does not have title insurance.