Title Insurance-Why Do You Need It?

Title insurance is required by a majority of banks to protect its interest when the bank commits to give you a loan, using the home which you intend to purchase or own as collateral. The lender requires that you purchase a Mortgagee's Title Insurance Policy in the amount equal to the amount borrowed. Each time you re-finance you primary loan, the lender will require a new policy. Additionally, an Owner's Title Insurance Policy protects you as the owner for the amount of the purchase price of the home, for the entire time that you own your home. The policy protects yourself, and your heirs, as long as they have an interest in the property, but it does not cover previous or future owners.

What Does The Policy Cover?

A title insurance policy will pay to defend many types of attacks on the title to the property and pay valid claims to protect the banks interest (Mortgagee's Policy) or on your behalf ( Owner's Policy).

How Much Must I Pay?

Title insurance is different than homeowner's insurance. The premium is paid only once for the life of the loan on a Mortgagee's Policy (you must re-apply if you re-finance) and for an owner's policy as long as the property is not transferred, the policy is continually in effect. The policy amount coincides with the amount borrowed or the purchase price, in One-Thousand ($1,000.00) Dollar increments. Additionally, if you re-finance a reduction in the price of the premium is given, if you re-order from the same company.

An added bonus--there is a one-time price break when you order a Owner's and Mortgagee's policy simultaneously. For the price of the lender's policy, plus any additional amount over the amount borrowed, a owner's policy can be purchased.

What Is A Title Search?

A title search is what the Title Agent bases the writing of the policy(s) upon. A title search is for information purposes only. Only the purchase of a Title Policy from an authorized agent, protects the lender and yourself as owner. The title searcher does not warranty the work, and if a problem exists (i.e., a un-satisfied mortgage or a lien) that problem will not be resolved by the person conducting the title search.

Why Should Meridian Abstract & Assurance be my Title Agent?

Many title agents are not learned in the legality of all title instruments. Our company consists of lawyers and counselors with over 60 years of legal experience, and our knowledge makes the best business sense and our competitive rates and fees make the best economic sense. So please call for a free quote to have Meridian Abstract & Assurance be your title agent at closing.