2639 PROFESSIONAL CIRCLE

SUITE 104

NAPLES, FL 34119

239-449-4000

Why Title Insurance?

A Guide To Understanding The Need And The Value


It is vitally important for prospective homebuyers to thoroughly understand the process of purchasing a home and the potential risks associated with the property's title.  Most people don't realize that the current owners of their prospective home-and their family and heirs- have extremely strong rights associated with the property. In addition, third parties may have liens against the title for anything from unpaid child support to outstanding parking tickets! In fact, it takes very little effort to place a lien on a property, but it can take a great deal of time and money to have it removed. 


Florida land records can be especially complicated with historically dense documentation, and confirming clear title in our state is more of a complex issue than in other parts of the country.

One in four title searches uncovers some problem that must be rectified prior to the closing. 

Title Insurance should be an informed decision. 


We are here to assist you with your title insurance needs.



Who Is Covered By Title Insurance?

Their are two different kinds of title insurance policies, and each covers a specific type of policy owner:


Unlike other forms of insurance, title insurance relies on a single premium paid when you purchase your home. Title insurance covers things that happened in the past (prior to closing) that could effect the status of the property's title. 


LOAN policies are required by the lender and paid for by the borrower(s) at the closing . These policies only protect the lending institution and ensures that they have a valid enforceable lien on the property. If a title problem is uncovered and causes financial loss, the lending institution is covered up to the amount of the mortgage loan associated with the property HOWEVER; there is no provision for the borrower's losses.  Lenders require title insurance as security for their investment in real estate why wouldn't  you want the same?


OWNERS title policies rely on a single premium paid when you purchase your home.  An owners policy is a way to protect yourself from serious financial loss should problems develop regarding the rights to ownership of your property. 

In addition to covering a loss up to the face amount of the policy, title insurance pays the cost of defending against any covered claim. 

What is covered by Title Insurance?

Both policy holders are protected from title risks. Listed below are just a few of the most common hidden risks that can cause a title problem:


    Forged deed or other instruments 


   Failure of spouses to execute required                   documents 


   Undisclosed or missing heirs


   Mistakes in recording legal documents


   Unauthorized signatures on documents on            behalf of corporations, partnerships, and other    companies.