What is the title insurance policy's purpose?

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Multiple Choice

What is the title insurance policy's purpose?

Title insurance protects you against hidden title problems that the title search might miss. The policy covers losses from defects in the title that were not found in the title search, rather than promising a perfect title or covering property damage. If a defect surfaces after the purchase—such as a forged deed, undisclosed heirs, or an undisclosed lien that wasn’t revealed by the search—the policy helps cover the losses up to the insured amount.

Title insurance protects you against hidden title problems that the title search might miss. The policy covers losses from defects in the title that were not found in the title search, rather than promising a perfect title or covering property damage. If a defect surfaces after the purchase—such as a forged deed, undisclosed heirs, or an undisclosed lien that wasn’t revealed by the search—the policy helps cover the losses up to the insured amount.

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