You’re ready to buy your home, but you’re concerned. What would happen if you were sold a home fraudulently? What if the home wasn’t the sellers to sell?

Title insurance is an important kind of indemnity insurance that helps protect the holder against losses caused by defects in a title. You’re most likely to see this insurance in the forms of lender’s title insurance. This is purchased by the borrower in order to protect their lender.

Generally speaking, lenders will ask you to get title insurance when you buy a home. Though the title will be searched and investigated, there is a potential for issues to be missed. For instance, a skilled professional may still not find that there were forgeries on the title or that there were undisclosed heirs. Later on, those issues could impact your purchase, which is why title insurance is usually required.

There is another form of title insurance called an owner’s policy of title insurance. This insures your ownership rights to a property. You pay once to obtain this kind of insurance, and the coverage then lasts for whatever length of time it is that you own your home.

You know that buying a home may be one of the most important purchases in your life, so it’s important to carefully consider if you want to have owner’s title insurance as well as lender’s title insurance. If so, your attorney can talk to you about what you need to do to secure it and to make sure your title is going to be insurable in the first place. Good title insurance may be what you need to support you in the future, especially if issues with your title come up at a later date.