Title insurance is a policy provided to the insured party protecting them against title defects that may have occurred before you purchased your home. Title insurance provides protection for past problems, like a prior owner’s debt or ownership interest of another party.

Owner’s title insurance is offered at the time of your home purchase and is issued simultaneous to the Lender’s policy to your mortgage company. The Lender’s policy insures the mortgage company that they are the only lien holder on your property. Just as they want coverage insuring their financial interest, it is strongly advised for you to protect your interest in your most valuable possession.

No, you pay once at settlement and the policy is yours for the duration of your homeownership. If you refinance, your lender will require a new Lender’s policy for the new mortgage being instituted at a reduced rate. Your Owner’s policy will remain in effect.