An opinion is the conclusion and judgment of a trained professional, often an attorney, based on a search of the public records. Just like an abstract, a title opinion only protects against loss related to an oversight on behalf of the individual making the opinion, not hidden hazards.

A title policy insuring your seller does not protect you. Also, many things could have happened to the land since that owner’s policy was issued. Your seller could have a mortgage, a home equity loan, judgments or unpaid taxes that would not be covered in the seller’s title policy.

Absolutely. Homeowner’s insurance typically provides protection against theft, accidental damage or natural disaster such as a tornado, earthquake or hurricane. While these types of loss can certainly be substantial, losses from a defective title could be devastating. If a fire destroys your home, you can rebuild and buy new possessions. If the title to the land fails, you could lose the right to inhabit you home as well as the land it occupies.

Title insurance probably costs a lot less than you think. Charges vary in different sections of the country; however, the important thing to remember is that you pay for an owner’s policy of title insurance only once, and there are no monthly premiums.

The lender’s policy of title insurance lasts until the mortgage is paid in full. An owner’s policy of title insurance lasts for as long as you or your heirs retain an interest in the property.

A title insurance policy provides coverage from the time of its effective date back to the origin of title. After the property has passed to your heirs, if any defect prior to the policy should arise, the title insurance company would defend the title for your heirs just as it would for you if you were alive.

You can obtain title insurance from any licensed title insurance company or its agents operating in your state. When choosing a title insurer, it is important that you look for a company with expertise and experience, as well as the financial strength to protect you should a claim arise. Your real estate broker or attorney can recommend such a company.

Yes and no. While the lender will likely require a loan policy of title insurance, the purchaser can choose what type of owner’s protection, if any, to use with regard to title. It’s important to remember, however, that only title insurance protects the owner against hidden hazards, and only title insurance reimburses the owner for legal expenses for defense of claims that affect the value of the property.