Buying a home is a major investment, but securing your ownership rights is just as important as securing a mortgage. Many homebuyers don’t realize that a lender’s title insurance policy only protects the bank—not the homeowner. An Owner’s Title Insurance Policy ensures you’re protected from hidden title defects that could put your home at risk.

Here’s why title insurance is a must-have for homeowners.

1. Protects Against Fraud and Forgery

Fake signatures, fraudulent sales, and forged documents happen more often than you’d think. If someone fraudulently sells a home, you could face serious legal battles just to prove you own it. Title insurance protects you from financial loss due to fraud.

2. Confirms the Seller Has the Right to Sell

Not every seller has the legal authority to transfer a property. Missing heirs, contested wills, or incorrect ownership records can lead to major disputes. Title insurance ensures you’re buying from the rightful owner.

3. Shields You from Unpaid Liens or Debts

A previous homeowner’s unpaid property taxes, contractor bills, or debts can become your problem after closing. Without title insurance, you might be responsible for these unexpected costs.

4. Helps Settle Property Line Disputes

Your neighbor might claim a portion of your property, or an old survey might show conflicting boundaries. Title insurance helps cover legal costs if you face boundary, access, or easement disputes.

5. A Lender’s Policy Doesn’t Protect You

The title insurance your lender requires only protects their financial interest—not yours. An Owner’s Title Policy ensures you have full rights to your home and safeguards you from potential title claims.

6. Saves You from Costly Legal Fees

Title defects can lead to lawsuits, and without title insurance, you’d have to pay for an attorney and legal expenses out of pocket. An owner’s policy covers these costs, keeping you protected.

7. One-Time Payment, Lifetime Protection

Unlike homeowners insurance, title insurance is paid once at closing and lasts for as long as you own the home. If title issues arise years down the road, your policy has you covered.