Why Do I Need Title Insurance?
Protecting your property rights and your peace of mind.
Buying a home is likely one of the largest financial investments you will ever make. While standard homeowner’s insurance protects your house from future events (like fires, storms, or theft), Title Insurance protects you from the past.
Before you are handed the keys, the attorney-owned team at Cigar City Title conducts a rigorous search of public records to ensure the property is free and clear of any legal issues. However, even the most exhaustive search cannot uncover hidden defects.
If a past issue suddenly surfaces after you buy the home, your Owner's Title Insurance policy steps in to defend your property rights and cover financial losses.
The Hidden Dangers We Protect You From:
Without title insurance, you could be held financially responsible for the mistakes or debts of the previous owners. Your policy protects you from nightmare scenarios, including:
Undiscovered Liens: Unpaid property taxes, contractor bills, or HOA dues from the prior owner.
Fraud and Forgery: Falsified documents, forged deeds, or impersonation of previous owners.
Unknown Heirs: Long-lost relatives of a past owner who suddenly step forward claiming they own the property.
Clerical Errors: Mistakes in public records that affect your legal ownership.
Boundary Disputes: Unknown easements or property line disputes with neighbors.
Owner’s Policy vs. Lender’s Policy (What’s the Difference?)
If you are taking out a mortgage, your bank will require you to purchase a Lender’s Title Policy. However, it is crucial to understand that this policy only protects the bank's money—not yours. To protect your own financial investment, your down payment, and your legal right to live in the home, you need an Owner’s Title Policy.
One-Time Fee: Unlike typical insurance with monthly premiums, you only pay for Owner's Title Insurance once at the closing table.
Lifetime Protection: It protects you and your heirs for as long as you own the property.
The Cigar City Title Advantage
Because we are an attorney-owned and operated title company, we don't just issue insurance policies. If a title defect is discovered during the search process, our in-house legal experts, Xavier and Nick, have the authority and knowledge to resolve it quickly—keeping your closing on track and your investment secure.