Your family will have enough on their plate in the event that you pass away, which is why many people try to simplify the process by meeting with an estate planner and mapping out how some of the end of life processes will be completed upon their passing. An estate plan helps to provide a roadmap for how assets will be distributed and final wishes be carried out, and you may be surprised to learn how title insurance can play a critical role in helping your family navigate end of life issues. In today’s blog, we explain why securing title insurance for your commercial property can be a very savvy move as part of your comprehensive estate plan.
Developing An Estate Plan
As we noted in the introduction, an estate plan will detail how a number of end of life processes will be carried out. Some of the most common topics you’ll want to cover with an estate planner include:
-
Last will and testament
-
Beneficiary designations
-
Advance healthcare directives
-
Revocable living trust
-
Financial power of attorney
-
Securing title and property deeds
-
Itemization and access to digital assets, files and accounts
-
Funeral instructions
So how exactly does a title insurance policy fit into this list? A title policy can actually prove beneficial in a few different ways, all of which will be appreciated by your family and heirs. A title insurance policy on commercial property will be helpful by:
-
Protecting Ownership Rights - In the event that an unforeseen title defect is discovered, your heirs won’t be financially obligated to settle that issue out of their own pocket because a title insurance policy is in place.
-
Decreases Likelihood Of Title Issues - When you secure title insurance, a title service team or the insurance provider will thoroughly research the property to ensure outstanding issues don’t exist before they issue the policy. It’s much less likely that a problematic title issue will surface for your loved ones if the property has been investigated as expected when securing a policy.
-
Simplifies The Transfer Process - In the event that your loved ones plan to sell the property upon your passing or one heir is going to buy out the rest of the heirs, the existence of a title insurance policy should streamline the transfer process. A title insurance policy can minimize issues that could delay the smooth transfer of property.
Nobody likes thinking about what the world will look like after they're gone, but taking some steps to ease the burden on your loved ones after your passing can give you some peace of mind. Talk with an estate planner and consider connecting with a title service team like Commercial Partners to secure title insurance and ensure your loved ones don’t run into any issues with inherited commercial property during the probate period.
For more information, or for help with a different aspect of commercial real estate, connect with the team at Commercial Partners today at (612) 337-2470.