Most real estate transactions involve title insurance. Every transaction should! Despite the expense, and the fact that title insurance companies may be very, very profitable, potential losses associated with title defects, for owners and lenders, make title insurance essential.

Title insurance policies issue, generally, on American Land Title Association (ALTA) forms. Policies are issued to owners and lenders. There are standard and extended coverage policies for owners and lenders, as well as an HO—homeowners—policy and a policy for leasehold interests.

A standard owners or lenders policy insures against matters of record, i.e., interests which exist because of a document recorded in the County Recorder’s office. These include claims that someone else owns your property, that another lender’s deed of