Title Insurance Owner vs Lender Policy

Definition: The two types of title insurance policies issued in Florida real estate transactions: the owner's policy protects the buyer against title defects, while the lender's policy protects the mortgage lender. Both protect against losses from covered title defects.

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Owner and Lender Title Policies in Florida

FL title insurance: Owner’s policy (protects buyer; purchase price; lasts with ownership; optional but recommended). Lender’s policy (protects lender; loan amount; decreases as paid; required by lenders). Who pays: varies by county; most: seller pays owner’s; buyer pays lender’s. Premium: FL regulated (Chapter 627), one-time at closing. Simultaneous discount. Coverage: defects, liens, encumbrances, defense costs, and loss. Exclusions: known defects, government, environmental.

Two Policies

Who Pays

Coverage

Related Terms

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Barnes Walker’s attorneys handle title insurance in Florida. Request a legal inquiry for assistance.

Florida Law Reference

Fla. Stat. § 627.7711

Regulates title insurance rates, forms, and practices in Florida. Title insurance premiums are promulgated by the Florida Office of Insurance Regulation.

Reviewed by the attorneys at Barnes Walker, Goethe, Shea & Robinson, PLLC

Disclaimer: The information and opinions provided are for general educational, informational or entertainment purposes only and should not be construed as legal advice or a substitute for consultation with a qualified attorney. Any information that you read does not create an attorney-client relationship with Barnes Walker, Goethe, Shea & Robinson, PLLC, or any of its attorneys. Because laws, regulations, and court interpretations may change over time, the definitions and explanations provided here may not reflect the most current legal standards. The application of law varies depending on your particular facts and jurisdiction. For advice regarding your specific situation, please contact one of our Florida attorneys for personalized guidance.

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