Claims · Federal Title & Escrow Company

Couple pays over $20,000 after waiving owner’s protection

Written by Federal Title on August 18, 2020.

We had a couple waive an owner’s policy that would have cost $815. They’ve spent near $20,000 in attorney fees defending title to their home. The seller sat across from them and signed closing documents. He brought a notarized Power...

Lack of owner’s protection can increase cost to sell property

Written by Federal Title on August 10, 2020.

Title insurance protects property ownership + marketability, but we tend to overlook the value of the owner’s policy for buyers who one day become sellers. We had to inform a seller that our title search revealed two unexpected mortgage...

Average loss on a DC title policy is $639

Written by Guest on July 9, 2012.

A recent Demotech study may reveal yet another reason for homebuyers to obtain owner’s title insurance – especially if you are buying a home in the District of Columbia. Title insurance companies take a loss of $215 on average in Maryland...

Owner’s title insurance: Case of forgery after infidelity

Written by Guest on June 30, 2012.

Part 6 of a series Fraud is a common cause of title claims, and it's practically impossible to detect in many cases because there is no way for the title agent to know about the fraud until after the fact. As we've discussed before, title...

Why does owner’s title insurance get a bad rap?

Written by Guest on June 5, 2012.

Google "owner’s title insurance," and you will find scores of blogs and other publications scorning this misunderstood insurance product. Frequently, at the settlement table, we hear homebuyers opine that title insurance is a "rip-off" and...

Owner’s title insurance: Seller fraud and HELOCs

Written by Guest on May 21, 2012.

Part 5 of a series During our 16 years of business Federal Title has, on three separate transactions, paid out claims on owner’s title insurance policies due to a seller committing fraud by securing a home equity line of credit (HELOC) immediately...

Owner’s title insurance: The costly ‘bond off’

Written by Guest on May 14, 2012.

Part 4 of a series So let’s say you just sold your home. You then receive an email notice from the settlement company as follows: "Our office has completed the title search for your upcoming closing and sale of 2525 Badtitle Lane, and we...

Owner’s title insurance: Encroachment from neighboring property

Written by Guest on April 26, 2012.

Part 3 of a series Just recently, during our underwriting review of an upcoming closing, our office discovered that the subject property — we will call it LOT 1 — was severely encroached upon by the improvements of the neighboring lot, which...

Owner’s title insurance: Case of clerical error

Written by Guest on April 23, 2012.

Part 2 of a series Our most recent real-life case involved a $65,000 claim and a tax sale purchase, which occurs when a government agency auctions off properties with delinquent property tax bills. The homebuyer almost lost $65,000 in equity...

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Tag: Claims

Couple pays over $20,000 after waiving owner’s protection

Lack of owner’s protection can increase cost to sell property

Average loss on a DC title policy is $639

Owner’s title insurance: The costly ‘bond off’

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Without title insurance, new homeowner pays special assessment

How to scan your closing documents when you don’t have a scanner