About Title Insurance
Enhanced vs. Standard Title Policy
Standard Coverage
A standard title insurance policy, sometimes referred to as basic or limited, covers the title to the property as of the date of recording of your new deed and/or mortgage.
Covers issues like:
- A defect in or a lien or encumbrance on the title
- Unmarketability of the title (i.e. the inability to transfer ownership)
- Lack of right of access to and from the land
- Removal of existing structures due to encroachment onto a neighbor’s land, easement or building setback line
Coverage of a standard policy remains the same
Costs
~10% More
significantly more coverage
Enhanced Coverage
Enhanced title insurance provides more protection against a wider variety of issues than a standard policy.
Covers standard issues + protection against:
- Subdivision violations
- Zoning problems
- Encroachment (if a neighbor builds a structure after the policy date that encroaches onto the insured land)
- Loss of title due to a violation of any covenant, condition or restriction that occurred before you acquired title, or if someone attempts to enforce a discriminatory covenant, condition or restriction based upon race, color, religion, sex, handicap, familial origin or national origin that they claim affects your title
Offers significantly more coverage and increases in value by 10% each year for the first 5 years