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What is Title Insurance?
Title insurance protects you from claims of ownership, outstanding debts of previous owners, and other title problems that you didn’t know about before you bought the property. It doesn't insure against fire, flood, theft, or any other type of property damage or loss.
Before selling a title insurance policy, a title company will check for problems with your title by looking at public records, including deeds, mortgages, wills, divorce decrees, court judgments, tax records, liens, encumbrances, and maps. The company will then defend you in court if there is a claim against your property, subject to certain limitations. If the company loses, it will pay you for covered losses up to the amount of your policy.