Should I Get Title Insurance?

Title Insurance: Should You Get It?


When purchasing a property, deciding whether to get title insurance could be one of the most important decisions you ever make. And, for better or worse, the answer is pretty much always yes. 

How Title Insurance Protects You From Risks 

Having a title to a property means that you have the legal right to use it; but unlike owning other kinds of property, like a laptop or an expensive necklace, that property's title may be vulnerable to claims from other parties. For example, if a previous owner of the property you want to buy left it in their will to a relative, but that will was not properly recorded, it may still legally belong to them-- even if you've spent serious money on it.

Fortunately, purchasing an owner's title insurance policy can protect you from other property claimants by funding your legal defense. And, if the other side wins, the insurance company will reimburse you for your equity in the property. 

Commercial Title Insurance vs. Residential Title Insurance

Commercial and residential title insurance are similar in many ways, but since commercial property transactions are often larger and more complex, commercial title coverage often needs to be more comprehensive. In particular, commercial title insurance can specialize in: 

  • Special use/zoning coverage
  • Mechanic's lien protection 
  • Extended commercial coverage 
  • Survey issue resolution 

What is a "Good" Title? 

When you get into any conversation about title insurance, you'll often hear the phrase "good title" bandied about. But what does this mean? Basically, it means that there are no competing legal ownership claims or financial liens against the property. Of course, the whole reason for title insurance is that these things can arise at any time, so when someone says that a title is "good," it really only means that, to their current knowledge, the title is free and clear. And, the whole point of title insurance is to make sure that whether or not your title remains "good," that you'll stay financially protected. 

To understand more about how to protect your property against a variety of legal threats, contact Florida Title Company today for a free consultation. 

And, to get a free quote or to learn more about getting title insurance in Florida, fill out the form below and a Florida title attorney will get in touch.