Why would I need to get Title Insurance?
The purchase of a home may well prove to be the largest financial investment you make in your lifetime. Knowing this, most homeowners provide for the security of their homes by insuring them against fire, theft and weather damage. But, we also must protect against title defects! Defects in your title can result in partial or complete loss of your investment! Fortunately, there is a way to protect your investment from these defects! This is why you need title insurance. The primary function of title insurance is to eliminate risks and prevent losses caused by defects in title arising out of events that occurred before the policy date. In other words, the primary function of title insurance is to take affirmative steps minimizing the risks that the insured will suffer a loss.
What types of problems are covered with Title Insurance? They include the following:
- Forgery and Impersonation
- Lack of Competency, Capacity or Legal Authority of a Party
- Deed not joined in by a Necessary Party (co-owner, heir, spouse, corporate officer, or business partner)
- Undisclosed (but recorded) Prior Mortgage or Lien
- Undisclosed (but recorded) Easement or Use Restriction
- Erroneous or Inadequate Legal Descriptions
- Lack of Right of Access
- Deed not Properly Recorded
How will I know that I don’t have those problems?
The Columbia Title search team will perform an extensive search of the public records to determine the status of title on the real property including all outstanding interests, liens and encumbrances. If any of the above problems are found, Columbia Title will work with the property owner to resolve each issue. After having been thoroughly examined, the title commitment and the policy will be issued for a single premium.
There are no additional annual premiums as in most other forms of insurance. This policy covers the insured for as long as the insured owns the property.
Columbia Title is backed by the stability and integrity of two of the nation’s largest underwriters, First American Title Insurance Company and Alliant Title Insurance Company of Florida