Whose interest is insured?
An owner’s policy protects the owner’s financial interest against covered title problems, such as certain claims arising from events before the purchase. A lender’s policy protects the lender’s interest in the loan. The buyer may pay for a lender’s policy without receiving owner’s coverage.
What to review before closing
Ask your closer to walk through the title commitment. Check the proposed insured names, the property description, the requirements for issuing the policy and any listed exceptions. Read the issued policy for its terms, exclusions and limits.
What should I request in a quote?
Give West Title the property county, purchase price and loan amount, if applicable. Specify whether you want an owner’s policy, a loan policy or both. If you’re unsure, select “Not sure — advise me” on the quote form.
Do I need a lender’s policy if I pay cash?
A cash purchase has no mortgage lender to insure. You can still ask about an owner’s policy. If you’re financing, ask your lender which policy it requires.
Consumer Financial Protection Bureau guides: Owner’s title insurance and lender’s title insurance.