Title Insurance in Pennsylvania: What Buyers Should Know
What title insurance covers, why lenders require it, and how it protects your ownership.
What is title insurance?
Title insurance protects an owner or lender against losses from defects in a property's title that existed before the purchase — things like an undisclosed lien, a forged deed, a boundary problem, or a missing heir. Unlike other insurance, it protects against past problems that surface after closing, not future events.
Owner's vs. lender's policy
A lender's policy protects the mortgage lender's interest and is almost always required to get a loan. A separate owner's policy protects the buyer's own equity. Because the lender's policy does not protect the buyer, purchasing an owner's policy at closing is usually worth it.
What it does and doesn't cover
Title insurance covers covered defects in the chain of title and typically pays to defend the owner's title in court. It does not cover problems a title search would have flagged and that were excepted, which is why reviewing the title commitment before closing matters.
How Nochumson P.C. helps
Nochumson P.C. reviews title, resolves defects, and advises on title insurance for buyers and investors. Contact us with a title question.
Related articles:
- Title Searches: What They Reveal
- How to Read a Title Commitment
- Warranty Deed vs. Quitclaim Deed
- Fee Simple Ownership, Explained
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