Title insurance is a type of insurance that protects the owner of a property or lender against losses that may occur as a result of defects in the title to the property. The title to a property is the legal document that establishes ownership of the property. A defect in the title can occur for a variety of reasons, such as fraud, errors in the public records, or claims by other parties to ownership of the property.

Title insurance is often required when a property is purchased or refinanced, as it helps to ensure that the buyer or lender is acquiring good title to the property and is protected against any potential legal challenges to the ownership of the property.

Title insurance is typically purchased by the buyer of a property, although it can also be purchased by the lender if the lender requires it as a condition of financing. In either case, the title insurance policy protects both the buyer and the lender against losses that may arise from defects in the title to the property.

It’s important to note that title insurance does not protect against any issues or problems that may arise with the property itself, such as physical damage to the property or issues with the property’s condition. It only protects against issues related to the ownership of the property.