Owners Policy
An owners policy protects none other than you, the owner. A title insurance
owner policy is a one-time fee protection against future claims on your property
for as long as you or your heirs own the insured interest in the property. An
owners interest is not covered with the purchase of a lenders policy.
Lenders Policy
A lenders policy protects the lender from any loss due to unknown title
defects and other certain matters which may exist but not be known at the time
of sale. Lenders want to protect their investment, so they will purchase the
lender policy as a standard part of the loan process. This lender policy does
not protect the owner’s interest in the property.
Construction Loan Policy
A construction loan policy covers the lender providing the financing during
the period of time of construction. Rather similar to the lenders policy, the
construction loan policy does not provide for "any lien or right to a lien
imposed by the law for service, labor or material, heretofore or hereafter
furnished, except for any lien the assertion of which by a claimant is recorded
in the public records at Date of Policy".
Leasehold Policy
A leasehold policy insures the owner of the leasehold estate and provides
similar coverage to an owners policy. The leasehold policy delivers a definition
of a "leasehold estate" and the method regarding valuation of the
leasehold estate for claims purposes.
