What’s the difference between homeowners insurance and title insurance? Your property is the focus of both of these policies, but these two types of insurance protect against two completely different aspects of property ownership. Let’s break down the differences in these two policies:
- Homeowners Insurance - Homeowners insurance is a policy that offers protection for incidents that occur on your property. For example, if your property floods, your roof is hit by a hail storm, you lose property in a house fire or someone is injured on your property, you or the injured party may have financial recourse through a claim with homeowners insurance.
- Owner’s Title Insurance - Conversely, owner’s title insurance can best be described as a policy that offers protections for incidents that occur to your property. If someone makes a valid or illegitimate claim on your property, you will be protected if you have an owner’s title insurance policy. For example, if you purchase a property only to find out that there was a long-lost heir that actually had an ownership stake in the property, you learn of unpaid property tax bills that arose prior to your acquisition, or a boundary dispute arises with a neighbor, you are protected from any potential financial fallout for these situations. Your title insurance provider will not only investigate these claims, but they will provide you with financial compensation should it be revealed that a valid title issue exists.
Commercial Partners Title Company
Commercial Partners Title Company is your go-to resource for everything related to your commercial real estate transaction. We provide title underwriting services, escrow services, construction disbursement services, and more! With decades of experience at our backs, we have the skills needed to handle all the intricate details of your commercial transaction. Contact us today to learn more about our many service offering and see how we can help you through all the stages of your next commercial real estate transaction!