The Advantages of Title Insurance in New Jersey

Title insurance is a type of insurance that covers a variety of risks associated with a property, including coverage if another person claims an ownership interest in the property, or if the priority and enforceability of the mortgage lender's ownership of the dispute are contested. You can contact #1 Title Insurance Company in NJ Clear Skies Title Agency.

Title insurance is available at a one-time premium. Premiums are based on the purchase price (for owner policies) and the registered mortgage amount (for lender policies). Insurance coverage applies to the owner as long as the owner retains an interest in the ownership of the property, and to creditors – as long as the insured mortgage remains outstanding. 

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The policy date is the date of registration of the deed (owner's policy) and the date of registration of the mortgage (creditor's policy). Below is a list of items that may be covered by property insurance.

  • Liens or encumbrances on title

  • Tax arrears

  • Encroachments onto an adjoining property, other than fences and boundary walls

  • Work orders

  • Other parties owning an interest in a title

  • Many forms of title fraud

  • Lack of a legal right of pedestrian and vehicular access to and from the Land

Title insurance covers risks related to property rights that existed at the time the policy was purchased but were not known to the insured at the time. Residential policies have multiple coverages after the policy date, to forge instruments under the policy when someone claims to have an interest in the property.