Even when you have an attorney perform your closing, it is very important to purchase owner’s title insurance. Owner’s title insurance protects you in case there are any defects in your title. Remember, you are purchasing a piece of ground that has been owned several times before. Sometimes, a prior owner fails to convey a complete interest in the property. Here are some examples of such incomplete conveyances:
Owner’s title insurance includes protection against these incomplete conveyances and is available for a one-time premium. In case of such defects, the title insurer will pay for defending against an attack on title as insured, and will either perfect the title or pay valid claims up to the policy limit. Also, remember that your title insurance continues in effect even after you sell the property.
So, always make sure to purchase owner’s title insurance when you buy a home.